EAC Investment

    EAC Partner States are committed to improving their investment environment with targeted investments into infrastructure, industrial development and oil production and refining, as well as investment in renewable energy to reduce the huge import bill and dependence on fossil fuels.

    EAC Partner States continue to promote investment opportunities to attract Foreign Direct Investments (FDIs) into the various priority sectors. FDIs inflows to the EAC have previously been concentrated in manufacturing, construction and services sectors. China and India continue to be the major sources of FDI to EAC.

    Table 2.2: FDI Inflows into EAC Region, 2014-2019 (in USD million)

    Country 2014 2015 2016 2017 2018 2019
    Burundi 47 7 0.1 0.3 1 1
    Kenya 821 620 679 1266 1626 1332
    Rwanda 459 380 342 356 382 420
    South Sudan 44.0 0.2 -8 1 60 18
    Tanzania 1416 1561 864 938 1056 1112
    Uganda 1059 738 626 803 1055 1266
    Total EAC 3846.0 3306.2 2503.1 3364.3 4180.0 4149.0

    Source: UNCTAD (2020) World Investment Report.  Figures in red are estimates. 

    Kenya, Rwanda, Tanzania and Uganda have been experiencing a steady increase in FDI since 2017. Besides FDIs, the EAC is keen to promote intra-EAC investments, by implementing policies that enhance domestic resource mobilization, including improved tax administration, financial sector development, financial innovation and curbing capital flight by stopping illicit financial flows from EAC.