Issue 07: Numerous Security Bonds in the EAC Region

Challenge: Existence of numerous Security bonds in the region is considered as an addition to high cost of doing business in the region as well as infringing on working capital of businesses/Economic operators.

Members Affected: Transport and Logistics

Status Update: EABC Consultative Meeting which was held on 30th -31st Oct. 2019 to harmonize Policy Proposals on Customs and Domestic Taxes Proposed; in addition to EAC initiative to establish EAC Customs Bond which will cover transit and/or warehousing, there is need to consolidate all security bonds in the region and come up with one bond and consider modalities for regionalizing it.