EAC Secretary General Veronica M. Nduva meets with Tanzanian President Samia Suluhu at a previous encounter
Arusha, Tanzania — The East African Community (EAC) Secretariat has formally raised concerns over Tanzania’s recent move to ban non-citizens—including nationals from fellow EAC member states—from engaging in a wide range of business activities.
The Secretariat warned that such unilateral action amounts to a breach of the EAC Common Market Protocol and risks undermining the very foundation of regional integration.
The new Tanzanian directive, signed by Industry and Trade Minister Selemani Saidi Jafo on July 25, prohibits foreigners from participating in 15 economic activities.
These include the sale of goods at wholesale and retail levels, mobile money transfers, small-scale mining, salon services (unless within hotels), brokerage in real estate, and ownership of micro and small industries.
The list has sparked concern and criticism across the region, particularly in Kenya, Rwanda, and Uganda, whose citizens are actively engaged in cross-border commerce.
In response, the EAC Secretariat issued a public statement asserting that the Common Market Protocol—ratified in 2010 and operational since July 2010—prohibits Partner States from imposing new restrictions on services or sectors they have already liberalized.
The Secretariat cited Annex V of the EAC Common Market Schedule of Commitments, which outlines progressive liberalization measures agreed upon by all member states.
“Partner States shall not reverse or restrict sectors and trades they have previously liberalized,” the statement reads, further emphasizing that such actions contradict the commitments reaffirmed by regional Attorneys General during the Sectoral Council on Legal and Judicial Matters in November 2024.
According to Veronica M. Nduva, Secretary General of the EAC, the Secretariat is conducting a legal and technical review of Tanzania’s new measures to determine their compatibility with regional obligations.
Findings from this review will be tabled at the upcoming Sectoral Council on Trade, Industry, Finance and Investment, where Partner States may push for formal censure or corrective action.
The developments have triggered growing tensions within the region. Kenya’s trade ministry has reportedly warned that Nairobi may impose reciprocal measures on Tanzanian nationals operating in its territory if the directive is not reversed.
Rwanda and Uganda have also expressed concern, arguing that such restrictions threaten EAC citizens’ right to establish and operate businesses freely across member countries.
While Tanzania has not yet issued a formal response to the EAC Secretariat’s concerns, observers believe the issue could escalate into a major test of the EAC’s enforcement mechanisms and its ability to safeguard the integrity of the Common Market.
The EAC has long promoted regional integration as a tool for shared economic growth, emphasizing free movement of people, goods, labor, services, and capital.
Restrictions such as those announced by Tanzania are viewed as contrary to that spirit and potentially damaging to investor confidence and intra-regional cooperation.
The EAC Secretariat concluded its statement with a call for restraint and cooperation: “The EAC remains committed to fostering a seamless regional integration process and calls on all Partner States to uphold the principles enshrined in the establishing Treaty and Common Market Protocol.”
As the bloc awaits Tanzania’s next move, pressure is mounting for a diplomatic resolution that reaffirms the shared vision of a unified East African market, free of unnecessary and protectionist barriers.
