The East African Community Secretary-General Liberat Mfumukeko. He had
received only 4.6 per cent of the 2017/18 budget contributions from
partner states by the end of September.
All the main organs and institutions of the East African
Community are in distress due to the financial constraints facing the
bloc.
The Secretariat had received only 4.6 per cent of
the 2017/18 budget contributions from partner states by the end of
September, leaving it and its institutions in critical liquidity
pressure.
The EAC budget for 2017/18 stood at $113.8
million, an increase of 12 per cent of the $101.4 million the previous
fiscal year. Each EAC partner state is required to contribute $8.4
million to this financial year’s Budget.
“Many activities have been stalled, pending remittance of the remaining partner states’ contributions,” a source told The EastAfrican.
Head
of the EAC Corporate Communications and Public Affairs Department
Othieno Owora promised to issue a statement on the matter soon.
The
EAC’s main organs are the Summit, the Council of Ministers, the
co-ordinating committees, the sectoral councils, the East African Court
of Justice, the East African Legislative Assembly and the Secretariat.
In a September 27 internal memo, EAC Secretary General Liberat
Mfumukeko directed the organs and institutions of the EAC to suspend all
activities unless the finance directorate confirms availability of
funds.
“For the meetings that have to be undertaken,
the delegation must be reduced to a bare minimum and only staff
performing critical roles should be allowed to travel. Nominations for
meetings to be approved by line Deputy Secretary General Finance and
Administration,” the internal memo reads.
Critical activities
Mr
Mfumukeko says all directorates should identify critical activities and
that all other activities should be put on hold until funds are
available.
“Activities that can be conducted without any financial implication should be prioritised,” he stresses in the memo seen by The East African.
Development
studies scholar Dr Gasper Mpehongwa, says it is time leaders looked for
alternative financing mechanisms, if the EAC integration project is to
be realised.
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