KENYA

CBK sees Kenya exports drop as Trump tariffs take effect

The Central Bank of Kenya (CBK) has termed the impact of U.S. President Donald Trump’s 10 per cent tariff on Kenyan exports immaterial amid fears of a global recession. The apex bank has forecast that Kenyan exports to the US are likely to fall by only Sh12.9 billion ($100 million) in the aftermath of the latest wave of reciprocal tariffs. “In the extreme case, if that does not change, we expect the 10 per cent tariff to have an impact of reducing our exports to the US by roughly $100 million (Sh12.9 billion),” CBK Governor Kamau Thugge said at a news conference this week. “It’s still relatively small compared to our GDP, which is north of $122 billion. We also don’t expect the $100 million to significantly impact the overall balance of payments and the exchange rate.” This week, President Trump announced a 90-day pause on all the reciprocal tariffs that went into effect at midnight, except for China. Tariffs on China will be increased to 125 per cent from 104 per cent, the U.S. president said, adding that a substantially lowered reciprocal tariff during this period of 10 per cent will remain.

(Business Daily)

TANZANIA

Tanzania, Angola sign pact to boost trade, investments

Tanzania and Angola are poised to boost trade and investment ties under the African Continental Free Trade Area (AfCFTA), aiming to unlock opportunities in sectors like agriculture, tourism, industry and the blue economy. The two nations have pledged to deepen their economic cooperation, with President Samia Suluhu Hassan and President João Lourenço announcing new initiatives yesterday in Luanda, during President Samia’s official visit to Angola. In a joint press briefing, President Samia revealed the signing of a Memorandum of Understanding (MoU) between the Tanzania Investment Centre (TIC) and Angola’s Agency for Private Investment and Promotion of Exports (AIPEX), a step aimed at strengthening bilateral trade and investment.

(The Citizen)

UGANDA

How regional tensions have impacted Uganda’s exports

Over the past decade, DR Congo and South Sudan have become Uganda’s key export destinations, overtaking Kenya, which had traditionally dominated. However, recent conflicts and tensions in both countries have significantly reduced Uganda’s export numbers. According to data from the Bank of Uganda, Uganda’s exports to DR Congo dropped 32 per cent in February, while exports to South Sudan fell by 70 per cent. Specifically, exports to South Sudan declined from $55.94 million in January to $32.77 million in February, and exports to DR Congo decreased from $45.43 million to $34.41 million. Combined, this resulted in a $34.19 million reduction in export earnings. 

Exports to Rwanda also declined by 19 per cent, while exports to Sudan fell by 40 per cent. The Private Sector Foundation Uganda attributed part of the decline to a pause in clearing exports through Uganda’s border points with DR Congo, caused by the absence of government-controlled customs. Despite the drop in exports to these markets, Uganda’s exports to Kenya and Tanzania increased by 13 per cent and 38 per cent, respectively. Exports to Tanzania rose from $8.8 million to $13.9 million, while exports to Kenya grew from $35.7 million to $41 million. Nevertheless, Uganda’s exports to East Africa decreased by 17.09 per cent, contributing to a 1.9 per cent drop in total export receipts for February.

(Monitor)

ETHIOPIA

Ethiopia earns record USD 4.5 billion from exports in nine months

Ethiopia has generated a record USD 4.5 billion in revenue from export trade over the past nine months, marking the highest figure in the nation’s export history, according to Minister of Trade and Regional Development, Kassahun Gofe (PhD). The announcement was made as ministry officials and leaders of affiliated institutions reviewed the implementation of their nine-month performance plan for the current fiscal year. In addition to the record-breaking export earnings, the Minister reported progress in digitising business services. Over 2.6 million users have accessed online business registration and licensing services, while more than 2.2 million online licensing inspections have been conducted during the reporting period.

(2 Merkato)

SOMALIA

Finance Minister chairs 68th FGC meeting on advancing financial governance

The Minister of Finance, Hon. Bihi Egeh, recently chaired the 68th Financial Governance Committee (FGC) meeting of the Federal Government of Somalia’s Coordination Secretariat at the Ministry of Finance (MoF) headquarters on Sunday. This significant gathering brought together key stakeholders to engage in an in-depth dialogue on enhancing financial governance in Somalia. The meeting provided a platform for comprehensive discussions on critical topics to improve the nation’s fiscal health.

(Radio Dalsan)