Museveni donates Sh8.3m to Great Lakes Trust

Uganda's President Yoweri Museveni on Saturday donated Sh8.3 million for the Great Lakes University’s Education Trust in Kisumu. (Read: PM to host Museveni in Kisumu)

Kenya's President Mwai Kibaki also donated Sh2 million, which was presented by Internal Security minister Prof George Saitoti.

President Museveni was presiding over the Great Lakes University’s Education Trust fundraising on the invitation of Prime Minister Raila Odinga.

Mr Odinga and President Museveni struck the deal on the Great Lakes event last December when the Mr Odinga presided at a fundraiser for Busoga University in Uganda.

The fundraiser, which was also attended by President Museveni, realised about UGSH900 million (about Ksh30 million).

Non-tariff barriers

Meanwhile, President Museveni has instructed Uganda's Customs department to remove tariffs and restrictions that Kenyan traders face at border point in the spirit of East African Community.

The move, he said, will promote cross-border trade at Malaba and Busia and subsequently earn the two countries additional revenue.

“I want all these bottlenecks removed to create a conducive environment for business between the two countries. Trade is the source of livelihood to many in the region.” he said while addressing Kisumu residents.

Kenya stands to benefit out of this directive as Uganda still remains its largest export market in the East African region.

Some of supplies from Kenya to Uganda include processed goods, agricultural inputs, refined petroleum products and metal products.

On the other hand, Uganda exports agricultural products like bananas and cotton.

After the collapse of local cotton industry in Kenya, the country solely relied on cotton imports from Uganda for its industrial and domestic consumption.

Mr Odinga on his part said that they had arrived at the decision with President Museveni to accelerate the development rate between the two countries.

“The decision by his Excellency President Museveni takes effect immediately. Because our people are so enterprising across the borders, it is the duty of the two governments to provide an enabling environment to do business,” Mr Odinga said.

He further explained that the same would be replicated to countries that form the East African Federation.

“We will also bring on board Tanzania, Rwanda and Burundi so that the entire East African Community (EAC) becomes a formidable trading bloc,” he said.

Currently, traders face lengthy documentation and high clearance fees.

In the past, traders ferrying goods from the Kenyan side have complained of harassment by the Ugandan authorities, whom they accuse of demanding bribes before being allowed entry.

The five countries that form EAC approved a Common Market deal in 2009 that was meant to facilitate free movement of goods, services, capital and people but this is yet to be realised fully, although it was to be effected by January 2010.

The move was meant to convert the estimated 130 million residents of the bloc into a single market for goods produced within the Customs Union.