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EAC Common Market Protocol

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EAC Common Market Protocol
NameEAC Common Market Protocol
TypeRegional integration agreement
Signed20 November 2009
PartiesKenya, Uganda, Tanzania, Rwanda, Burundi, South Sudan
Effective1 July 2010
LanguagesEnglish language, Swahili language, French language

EAC Common Market Protocol The EAC Common Market Protocol establishes the free movement of goods, persons, labour and services among the partner states of the East African Community and seeks to deepen integration initiated by the Treaty for the Establishment of the East African Community. It builds on earlier arrangements such as the East African Customs Union and complements instruments like the East African Monetary Union roadmap and the EAC Customs Management Act. The Protocol interacts with regional initiatives led by institutions including the East African Legislative Assembly, the East African Court of Justice, and national administrations in Nairobi, Kigali, Dar es Salaam, Bujumbura, Kampala, and Juba.

Background and Objectives

The Protocol was negotiated within the framework of the East African Community treaty processes involving negotiators from Kenya, Uganda, Tanzania, Rwanda, Burundi, and later South Sudan under political leadership such as presidents and prime ministers who participated in summits at venues like the Arusha International Conference Centre and the State House, Nairobi. Its objectives echo commitments in the Common Market for Eastern and Southern Africa discussions and aim to achieve four freedoms recognized in instruments like the European Economic Community treaties and the African Continental Free Trade Area roadmap. The Protocol sought to facilitate rights codified in regional agreements including the EAC Customs Union Protocol and to support development targets aligned with the United Nations Sustainable Development Goals and policy frameworks of the World Bank and the International Monetary Fund.

The legal basis rests on the Treaty for the Establishment of the East African Community and was operationalized through directives issued by the Council of Ministers, interpreted by the East African Court of Justice, and legislated in the East African Legislative Assembly. Administrative oversight is exercised by the EAC Secretariat headquartered in Arusha, working with national bodies such as ministries in Kigali, Nairobi, Dodoma, Bujumbura, Kampala, and Juba. The institutional architecture mirrors dispute resolution models in instruments like the World Trade Organization dispute settlement system and draws procedural inspiration from the Common Market for Eastern and Southern Africa Secretariat and the African Union Commission.

Key Provisions and Rights Conferred

The Protocol confers rights of free movement of workers, establishment of business entities, and provision of services similar to provisions seen in the European Union single market, while tailoring implementation to regional contexts exemplified by the Intergovernmental Authority on Development. Specific provisions include recognition of professional qualifications akin to frameworks used by the International Labour Organization, mutual recognition agreements modeled on those in the World Health Organization collaborations, and non-discrimination clauses referenced in rulings by the East African Court of Justice. The instrument sets out protocols for movement facilitated by travel documents and immigration procedures handled by immigration departments in capitals such as Nairobi and Kampala.

Implementation and Compliance Mechanisms

Implementation mechanisms rely on enactment of national laws, creation of implementing regulations, and coordination through organs such as the EAC Council of Ministers, the EAC Secretariat, and technical committees drawing expertise from agencies like the International Organisation for Migration and the World Bank. Compliance is monitored through reporting channels to the East African Legislative Assembly and adjudicated by the East African Court of Justice when disputes arise; supplementary compliance tools include peer review processes similar to those used by the African Peer Review Mechanism and technical assistance from the United Nations Economic Commission for Africa.

Economic and Social Impacts

The Protocol influenced intra-regional trade patterns tracked by the World Bank and the International Monetary Fund, affecting sectors represented by chambers such as the Kenya National Chamber of Commerce and Industry and the Uganda National Chamber of Commerce and Industry. Cross-border labour mobility impacted remittance flows studied by the African Development Bank and altered patterns of urbanization in cities like Nairobi, Kigali, and Dar es Salaam. Service liberalization affected firms in banking regulated by central banks such as the Central Bank of Kenya and the Bank of Uganda, and professional markets including healthcare providers affiliated with the World Health Organization and legal practitioners who have sought guidance from the East African Law Society.

Challenges and Criticisms

Critiques have been advanced by scholars at institutions like the University of Nairobi, Makerere University, University of Dar es Salaam, and policy think tanks such as the African Economic Research Consortium and the Economic Policy Research Centre. Concerns include uneven implementation between capitals such as Bujumbura and Juba, regulatory divergence similar to debates in European Union accession contexts, and protectionist measures invoked by national parliaments and trade ministries. Additional criticisms point to border management issues involving agencies like national immigration services and customs authorities, and to litigation trends before the East African Court of Justice over interpretation of entitlements.

Case Studies and Member State Experiences

Member state experiences vary: Kenya has leveraged Nairobi as a commercial hub attracting investment from multinationals and regional firms; Uganda experienced labour outflows to markets in Kenya and Tanzania; Rwanda pursued rapid legal harmonization guided by legislation in Kigali and technical assistance from the World Bank; Tanzania implemented phased measures in Dodoma and Dar es Salaam; Burundi faced disruptions linked to political instability affecting trade corridors to Bujumbura; South Sudan undertook gradual alignment with support from the United Nations Mission in South Sudan and bilateral partners. Comparative analyses draw on reports produced by the East African Community Secretariat, the African Development Bank, and academic studies from universities such as The University of Oxford and Harvard University.

Category:East African Community