Germany commits Euros 37million to regional integration

The Federal Republic of Germany has committed a total of Euros 37 million in grants to the East African Community (EAC), following conclusion of bilateral negotiations on development cooperation at the EAC headquarters in Arusha, Tanzania.

Thursday, October 01, 2015

The Federal Republic of Germany has committed a total of Euros 37 million in grants to the East African Community (EAC), following conclusion of bilateral negotiations on development cooperation at the EAC headquarters in Arusha, Tanzania.

Speaking during the negotiations on Thursday, EAC Deputy Secretary General in charge of Finance and Administration, Liberat Mfumukeko, thanked the Government of Germany for its support to the EAC spanning the years since the re-establishment of the Cooperation between the three founding EAC Partner States to the present, when the Community has expanded to include the republics of Rwanda and Burundi.

"We have truly benefited from the German support which has catalysed other development Partners to support our projects and programmes. In addition, Germany has given the EAC a permanent home by financing the construction of the new Headquarters that today houses the Secretariat, the Court and the Assembly under one roof thus greatly easing the EAC Organs interactions and communication,” said Mfumukeko.

The grant money is for 2016 to 2018.

A statement indicates that Euros 10 million will be invested in the establishment of a regional network of reference laboratories for communicable diseases.

"With this project, the German Government responds to a request for support from the EAC for the prevention and control of epidemic outbreaks in the region.”

Another Euros 10 million will be used for Integrated Water Resource Management of Lake Victoria, aiming at improving water provision and management of water resources; while Euros 17 million goes into further supporting the economic integration process, including a contribution to the EAC partnership fund (PF).

Established mid September 2006, the PF is a basket fund mechanism with annual contributions from Development Partners aimed at supporting the EAC projects and programmes that are geared towards regional integration.

The programme focuses on institutional strengthening of the EAC Secretariat and the implementation of the Customs Union, Common Market Protocols and Monetary Union.

This includes the elimination of Non-Tariff Barriers such as tax harmonisation as well as Mutual Recognition Agreements for qualifications. At the same time Germany will support the EAC in promoting private investment especially in the pharmaceutical sector, including the establishment of a regional quality infrastructure for the pharmaceutical sector.

Georg Rademacher, Head of the German delegation, said: "Our support underlines the importance we give to the East African Community. The EAC is a role model and pace-setter in Africa and we are proud working closely with you in order to contribute to the well-being and prosperity of the citizens of this region.”

Meanwhile, Germany is also supporting substantial regional infrastructure projects with promotional loans of the German development bank KfW.

Germany’s latest financial assistance to the five-member bloc comes barely a week after the former signed an intergovernmental agreement with the EAC that will see Euros 30 million (about Rwf 23.6 billion) invested in life saving vaccines and and the establishment of the EAC Regional Centre of Excellence for Health Supply Chain Management in Kigali.

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