May 27, 2022

Mawazo Writing Africa

Writing about the main

DRC is a key plank in regional value chain for businesses

The official admission of the Democratic Republic of the Congo to the East African Community is a game changer for regional business owners and investors as it marks the formal launch of a platform that will foster business growth, collaboration and unlimited investment opportunities.

As a rapidly expanding regional market with the Democratic Republic of the Congo, the East African Community now boasts an increased diversity that will no doubt complement trade with external partners and stakeholders for economic and business prosperity.

With the opportunities that DRC brings, intra-regional trade will steadily increase as companies expand and establish supply chains across the region.

In recent years, businesspeople looking to spread their wings across the vast country have had Opportunity to Setbacks due to current economic policies tik for non-EAC members.

This changes significantly with the addition of DRC to the EAC bloc and indeed strengthens our voice in the African Continental Free Trade Area agr like Kenyan President Uhuru Kenyatta during the accession ceremony on April 8th.

Trade relations between Kenya and the DRC are also at a new level as local companies are now showing an increased willingness to enter the DRC market to explore the Congo. At the time of writing, more than 26 traders and companies had made investment commitments and special requests to the DRC government for assistance in conducting feasibility studies.

The companies are active in sectors such as manufacturing, mining, hospitality, real estate and health; All of this shows great promise in the market of over 90 million people.

The ongoing Covid pandemic has made it difficult for companies to jump out of their shells and grow sustainably. The impact and disruptions in global market economies have spilled over into the region and stunted business growth. The snowball effect has imposed caps on economic and gross domestic product growth rates for EAC member states.

Previous forecasts showed what appeared to be negative growth for most members and later readjustments have raised general hopes of sustained economic recovery and growth Member states are still haunted by ghosts from a future we know so little about and a past we have not been able to fully control.

The EAC’s growth for a sustainable future must be increased Business owner aggression to capitalize on the opportunities available in the region.

The promise of intra-regional trade between member states will provide EAC members with a basis to engage with advanced economies in sectors such as agriculture, trade, tourism/hospitality and Manufacturing.

Estimates by the World Bank quantify the growth msrate of East African countries to 3.3 percent. That’s low even by our standards.

The promise for the entire region is there, and has become even clearer with the advent of this mineral-rich country endowed with a bevy of opportunities. Corporations now have a unique opportunity to open their wings and embark on a regional conquest mission.

Carole Kariuki is a Business Executive in Kenya who serves as the Chief Executive Officer of the Kenya Private Sector Alliance /strong>