China is the biggest global trading partner with the East African Community, followed by the UAE
China remains the biggest global trading partner with the East African Community.
Business between Beijing and the East African Community currently averages at USD 26.5 billion, according to the official report from the EAC Secretariat in Arusha
The United Arab Emirates (UAE) is the second major trading partner with the East African Community with the transactions between the two parties being valued at USD 12.9 billion.
A report tabled during the high-level side event to commemorate the East African Community’s Silver Jubilee reveals that India is the third biggest global trading partner with EAC with the total transactions valued at USD 8.8 Billion.
However, it was observed during the High-Level side meeting that the East African Community stands to gain more economically by trading with other countries on the continent.
Apparently, the value of trade between EAC and Africa stands at USD 109.4 Billion.
The EAC has also been doing business with other blocs, especially the Southern Africa Development Community (SADC) at USD 14 Billion and the Common Market for Eastern and Southern Africa (COMESA) at USD 11.5 billion.
On the other hand, the trade within the East African Community bloc itself is valued at USD 13.8 billion.
It was pointed out during the Arusha meeting that trade within the East African countries could grow even further with the elimination of non-tariff barriers.
Digital transformation with the aim of ensuring seamless trade between member states was the main agenda at the high-level meeting.
It was observed that a number of flagship initiatives demonstrate the EAC’s commitment to adapting digital transformation capacities in enhancing and deepening its integration process.
Among the key initiatives is the East African Payment System (EAPS), which facilitates cross-border transactions in local currencies, reducing dependence on foreign exchange and lowering transaction costs has been a key driver of regional trade.
While there is still room for greater integration, the systems are expected to have significant impact as it evolves.
There are also E-government platforms like Kenya’s e-Citizen, which offers over 5,000 digital services, and Tanzania’s TIPS platform for real-time financial transactions, have revolutionized how people interact with their governments.
The Rwanda National Digital Payment System (RNDPS), also known as eKash, has significantly advanced financial inclusion within the country.
The number of users in Rwanda has surged from 1.9 million in 2011 to 7.8 million as of 2024, demonstrating the impactful role of RNDPS in fostering a more inclusive financial landscape in the country.
Mobile money services, such as Kenya’s M-Pesa, with its 30 million users, and Tanzania’s mobile money accounts standing at about 40 million, have further promoted trade and financial inclusion, with Uganda reporting daily mobile money transactions exceeding USD100 million.