Eala passes 2014/15 budget

The East African Legislative Assembly (Eala) yesterday passed a $124.2 million budget for the 2014/15 fiscal year, with fast-tracking the single customs territory and fully implementing the common market protocol as priority areas. The budget, leaner than the $133 million for the 2013/14 fiscal year, was presented to Eala on Wednesday by Tanzania’s deputy minister for EAC Affairs, Dr Abdallah Sadala Abdallah in Arusha, Tanzania. The secretariat, the implementer of the budget, took a lion’s share of $76 million. Key priorities include strengthening of customs administration through policy dialogue, and enhancing market access through removal of non-tariff barriers. Other key areas include harmonisation of administrative procedures and regulations, enhancement of collection and dissemination of trade information to boost competitiveness. “Budget estimates for the Financial Year 2014/2015 are being presented at a time when the momentum of the integration process is increasing. We expect to fully operationalise the common market protocol and realise the time-bound objectives we set for ourselves,” Abdallah said. The theme of this year’s Budget is: Consolidating the EAC Common Market and Commencing the Implementation of the Monetary Union Protocol. Implementation of the common market protocol was allocated $25.6 million (about 20.66 per cent of the total budget while operationalisation of the single customs territory got about $ 2.3 million. Kick starting the roadmap to the establishment of the Monetary Union was allocated $23.08 million, an equivalent of 18.61 per cent. Development of cross-border infrastructure with emphasis on implementing the decisions of the Summit retreat on infrastructure got $3.8 million, implementation of the Tripartite Free Trade Area (COMESA-EAC-SADC), $1.28 million while the regional industrialisation policy and strategy was allocated $377,950. About 5 per cent (or $6.3 million) has been allocated to regional peace and security. Abdallah also proposed to fund implementation of the food security action plan and climate change master plan to the tune of $5.6 million. Three new regional institutions have also been funded. They are: The East African Science and Technology Commission based in Rwanda ($ 679,821), the East African Kiswahili Commission hosted by Tanzania ($722,102) and the East African Health Research Commission hosted by Burundi ($ 924,067). Eala has been allocated $15.5 million, the East African Court of Justice ($4.5 million), the Inter-University Council for East Africa ($ 9.4 million), the Lake Victoria Basin Commission ($13.3) and $2.8 million for the Lake Victoria Fisheries Organisation. The budget will be funded by the partner states ($41.9 million), partner state contributions through other agencies ($5.07 million) and development partners ($73.1 million). Other funds will come from IUCEA-member universities ($3.7m) Ministry of Education-IUCEA Headquarters ($1.2 million), reserve ($ 2.1 million) and $0.2m from other sources. Abdallah said a number of achievements were registered during in the FY 2013/2014 such as the commencement of the single customs territory which has led to among others, the significant reduction of clearance time from Mombasa to Kampala and Kigali from 18 to four days and 21 to six days respectively. In addition, he said, multiple bonds have been replaced by a single bond.

National

Eala passes 2014/15 budget