By The Arusha News Reporter
Economies of the East African Community (EAC) member states are projected to grow by an average 5.8 per cent in 2025, up from 5.5 per cent in 2024, according to the region’s latest economic outlook.
Presenting the EAC Budget Speech for the Financial Year 2025/2026 earlier this week, the Chairperson of the EAC Council of Ministers and Kenya’s Cabinet Secretary for EAC Affairs, Ms Beatrice Askul Moe, expressed optimism about the region’s economic trajectory.
“This strong performance is driven by growth in key sectors such as agriculture, construction and services – underpinned by sound policies and macroeconomic stability,” said Ms Moe during a virtual plenary sitting of the third session of the Fifth East African Legislative Assembly (EALA). The session was held virtually due to ongoing financial constraints within the bloc.
The EAC is made of eight member states – Tanzania, Kenya, Uganda, Rwanda, Burundi, Southern Sudan, Democratic Republic of Congo (DRC) and Somalia.
The EAC Council has proposed a total budget of USD 109.34 million for FY2025/2026, which is currently under review by EALA’s General Purpose Committee. Of the amount, 62 per cent (USD 67.76 million) was expected to be contributed by partner states, while the remaining 38 per cent (USD 41.58 million) will come from development partners. The 2024/2025 buget was $103,800.
In her address, Ms Moe outlined the region’s economic outlook, reviewed programme implementation for FY2024/2025 and presented key priorities for the next fiscal year. Despite global challenges – including geopolitical tensions, climate shocks and declining levels of international aid – the EAC’s projected growth rate of 5.8 per cent in 2025 still places the region ahead of the global average of 3.3 per cent and Sub-Saharan Africa’s projected rate of 4.0 per cent.
Among the top priorities in the proposed budget is the promotion of peace, security and political stability across the region. The Council emphasised that lasting development and deeper integration require a secure and stable environment.
Other focus areas included the enhancement of intra-regional trade and investment. This will be achieved by eliminating non-tariff barriers, simplifying customs procedures and promoting regulatory reforms to attract investment and facilitate cross-border trade.
On behalf of the Assembly, EALA Speaker, Joseph Ntakirutimana affirmed the Assembly’s commitment to expedite all Council-related budget business, including supplementary estimates for FY2024/2025. He adjourned the sitting to (today) Saturday June 28, 2025.
