THE African Development Bank Group (AfDB) has invested $55bn over the past decade to strengthen regional connectivity across Africa, underscoring its commitment to continental integration and economic growth. Dr. Joy Kategekwa, Director of Regional Integration at the AfDB, shared this development during the launch of the 2023-2024 East African Community (EAC) Common Market Capital, Services, and Goods Scan, which was held virtually.
Speaking on the theme Keeping the Promise to Integrate Africa, Dr. Kategekwa highlighted the Bank’s pivotal role in supporting the East African Community’s Common Market Protocol. The protocol aims to deepen economic ties by enabling the free movement of goods, services, and capital, a vital component in establishing a more cohesive East African economy.
The Bank’s Integrate Africa initiative has seen $5.5bn allocated to Eastern Africa alone—the largest regional investment under the programme. ‘With 64 percent of the Integrate Africa portfolio dedicated to transport infrastructure, we have funded crucial projects that enhance trade across borders,’ Dr. Kategekwa stated. She cited the $3.9bn electrified Standard Gauge Railway, linking Burundi, Tanzania, and the Democratic Republic of Congo, as a flagship project; the AfDB has committed $700 million to this railway, aimed at reducing transport costs and boosting cross-border mobility.
In addition to infrastructure, the Bank has backed several ‘soft’ connectivity initiatives designed to improve financial and logistical links within the EAC. These include a $20 million EAC Payment and Settlement Systems Integration Project, facilitating cross-border transactions in local currencies, and the $11 million EAC Capacity Building Project, which aims to reduce non-tariff barriers and streamline trade processes.
Dr. Kategekwa emphasised the significance of these investments, noting their alignment with broader African objectives, particularly under the African Continental Free Trade Area (AfCFTA), which could become a $3 trillion market. She urged both government and private stakeholders to work together in creating a unified economic front in East Africa. ‘Together, we can build a prosperous region positioned to seize the vast opportunities offered by the AfCFTA,’ she said.
The event also featured remarks from EAC Secretary-General Veronica Nduva, who expressed concerns over the lack of regional currency convergence, a key factor that affects the cost of cross-border business. ‘It does not matter how much progress you make at the national level if it is not converging at the regional level,’ she warned, highlighting how such disparities elevate business expenses and limit movement.
The conference concluded with a shared vision of a borderless East African Community, set to serve as a model for continental integration, economic growth, and sustainable development across Africa.
