Kenya’s National Assembly Committee on Regional Integration has raised red flags over the persistent failure by several East African Community (EAC) member states to fulfill their financial obligations, warning that the trend is threatening the stability and effectiveness of the regional bloc.
During a session with officials from the State Department for East African Community Affairs, MPs scrutinised reports from the East African Legislative Assembly (EALA), expressing frustration that despite Kenya’s consistent financial contributions, it receives disproportionately limited benefits in return.
Karachuonyo MP Okuome Adipo voiced particular concern over trade disruptions affecting Kenyan fishermen operating on Lake Victoria, citing challenges in cross-border trade with Uganda. “Kenyans are facing serious challenges when it comes to fishing in Lake Victoria. Can you guarantee seamless trade with Uganda?” he asked.
The committee, chaired by Irene Mayaka, called for urgent reforms to the EAC’s enforcement mechanisms. Lawmakers proposed that habitual defaulters face sanctions and, in extreme cases, expulsion from the bloc. Mayaka questioned the viability of the current framework, asking, “What is the most effective path forward under existing EAC laws and policies?”
Principal Secretary for EAC Affairs, Dr Caroline Karugu, acknowledged the budgetary strain, noting that the issue is under active consideration by the EAC Heads of State Summit. “I remain optimistic that we will find a way forward to revitalise the Community,” she said. Dr Karugu added that partner states are being urged to honour their 2024/25 financial commitments in line with EAC regulations.
She further urged Parliament to support broader structural reforms to enhance regional trade, including aligning taxation regimes and improving the ease of doing business to attract investment.
The Committee expressed conditional support for a proposal that would allow member states to directly fund salaries for staff seconded to EAC institutions. However, lawmakers emphasised that such changes would require amendments to the EAC Treaty to ensure fairness and protect compliant states from the economic fallout caused by non-compliance from others.
The warning from Parliament underscores a growing urgency to reform the EAC’s fiscal and operational structures to sustain regional integration and cooperation.
