A recent academic analysis on the budgetary schemes of the five countries forming the community found out unrealistic allocation of financial packages immensely affecting the poor performance in the region.

 

The Economic and Social Research Foundation (ESRF) Executive Director Dr Hoseana Lunogelo said mid this week in Dar es Salaam that the community’s most vital development organs such as Lake Victoria Basin Commission were almost defunct and reckless for the region.

 

Dr Lunogelo said this while presenting a post budget 2014/15 analysis dialogue titled “mainstreaming regional integration in the development of national budget – the scenario of East Africa Community in Tanzania” that EAC governments were stubbornly reluctant to support and finance community regional organs.

 

“Given the situation, the governments of the five member states in the region have been advised to allocate enough resources to ensure that all institutions operating in the region accomplish their development strategies,” he said.

 

He said studies have observed that the region has been allocating small funds to these institutions, a situation that hinders development efforts to expand regional integration.

 

Reports show that there have been minimal efforts in supporting important sectors such as fishing, manufacturing and agriculture. 

 

According to him, in the 2013/2014 financial budget, investment in the sectors had gone down to an alarming rate, whereby fishery industry was reduced to 13 per cent while the Lake Victoria Basin Commission budget hovered down to 40 per cent.

 

Dr Lunogelo was also quick to note that for the previous fiscal year, Tanzania has been doing well in supporting its institutions operating under the EAC umbrella including the improvement of central railway system and business activities that also involve other member states.

 

He said member states need to work on recommendations made by research institutions such as ESRF.

 

On his part Dr Abdallah Makame from the Ministry of East African Cooperation said that 50.4 percent of the budget contributed by partner states is spent on Personnel Emoluments (PE) charges and other support services while a meagre 21 per cent is spent on developmental projects.

 

He said the financing pattern clearly indicated that the running of the regional integration activities relied heavilyon development partners, a trend that was risky to the bloc.

 

In the fiscal year 2013/14 the total EAC budget stood at USD133million.