The East African Business Council (EABC) calls on EAC Partner States to strengthen the protection of East African service suppliers and fast-track the liberalisation of trade in services.
Under Annex V of the EAC Common Market Protocol (2010), Partner States committed to the free movement of services and scheduled seven priority sectors: business, communications, distribution, education, financial, tourism and travel, and transport services. Several deadlines for the elimination of restrictions, including those set for 2010, 2013 and 2015, have already passed.
Services account for approximately 46% of EAC GDP, over 30% of formal employment and about 24% of intra-EAC trade. They are the backbone of regional integration, supporting finance, transport, ICT, tourism, professional services and distribution.
EABC recognises that enforcement of immigration, licensing, tax and other applicable laws is a sovereign responsibility of Partner States. At the same time, compliance requirements should be applied fairly and transparently and should not create unnecessary barriers for legitimate EAC service suppliers.
EABC encourages Partner States to support the registration and formalisation of informal service suppliers, fast-track implementation of outstanding commitments on trade in services, and complete the scheduling of pending commitments.
Further, EABC urges EAC service suppliers to register where required, keep licences and tax documents in order, comply with host-country laws and report instances of harassment through appropriate channels.
Service suppliers from every Partner State operate across borders and contribute to intra EAC services trade employment and investment. Facilitating their legitimate operations is central to the objectives of the EAC Common Market.
