THE EU SETS ASIDE KS 8.1 BILLION FOR EAC INTEGRATION

Kenya Times
Nairobi, Kenya

Friday, October 10, 2008

Story by: By LUMITI KHABUCHI

The East African Community is set to benefit from 650 million euros set aside by the European Commission to fast track the regional integration process for the next five years.

The money will go towards the enhancement of infrastructure projects mostly in the transport, communication and energy sectors. Making the revelation in Nairobi yesterday, the EU head of mission Eric Van Der Linden said the money will support the rail and road transport to foster easy movement of goods and people and increase trade among the five member countries.

He said the money will be channeled through the EAC secretariat with Kenya receiving major emphasis to strengthen its position as the regional business hub for the trading bloc. Linden said the funding would come in handy in tacking the teething and supply side challenges currently inhibiting free trade in the region and make it international competitive to the models of the EU.

"We understand that integration through trade provides a win win situation to all the concerned countries. From the success of the EU we realize the potential that lies in regional integration," said Linden . Towards this cause, Kenya will be receiving an average of Ksh10 million annually from the EU in efforts to build capacity and make it globally competitive in trade and value addition.

Van Den was addressing the press after the completion of a regional integration and impacts of counterfeiting conference organized by the French Embassy which is the current chair of the EU.

He said the EU valued partnership through trade as opposed to aid as is the situation currently. French ambassador to Kenya Elisabeth Barbeir said the EU understands the potential of that lies in the EAC trading bloc and therefore the resolve to finance most of its initial operations. More In Print Edition