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Alter rail concession deal, says report
An RVR locomotive at Nairobi station. Kenya should help develop networks that would enable landlocked countries such as Uganda, Rwanda and Burundi. Photo/ANTHONY KAMAU
Restructuring of the Kenya-Uganda railway concession agreement and acceleration of reforms at the port of Mombasa are some of the key priorities that need to be pursued by the East African Community.
Kenya should also boost the capacity of the East African Community ministry by hiring more technical staff and increase its budget to enable the full integration of the region.
This is according to a brief prepared by donor countries and the Government of Kenya.
It cites transport costs resulting from the poor performance of the Kenya-Uganda rail concession and high prices from the failure to remove non-tariff barriers as some of the main challenges facing the EAC’s efforts to become fully integrated.
“The outcomes of investments are lessened by the ongoing impact of non-tariff barriers, poor performance of the Kenya-Uganda rail concession and inefficiency at the port of Mombasa,” reads the brief.
The meeting between donors, aid agencies and the government dubbed Development Partnership Forum, was held at the Kenyatta International Conference Centre on Monday.
It was aimed at reviewing the relationship between the government and donor countries, and their impact on Kenyans.
The brief says that with the restructuring of the railway concession, the resolution of which is currently pending in court, 10 per cent of traffic through the Mombasa Port would be handled by Kenya Railways Corporation.
It says Kenya should help develop networks that would enable landlocked countries such as Uganda, Rwanda and Burundi benefit from the effects of the sub-marine fibre optic cables that have landed at Mombasa.
“ICT costs remain high despite new sub-marine cables and a drop in international prices. The transit to neighbouring countries remains problematic and expensive,” says the brief.
Kenya has been asked to set clear deadlines for the removal of non-tariff barriers to trade and to strengthen the EAC Affairs ministry to support the implementation of the Common Market Protocol signed in Arusha, Tanzania on November 20.
The protocol comes into force in July next year.
Do not know
A survey by researchers released before the protocol was signed indicated that many EAC citizens do not know what the integration of the region means and what they would gain from it.
The brief calls for increased public awareness about the community since “the integration agenda poses fundamental challenges to the political, social and economic landscape for Kenyans.”
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