The East African Community has raised concern over new restrictions imposed by some member states that go against the commitments made under the EAC Common Market Protocol, warning that such moves could slow down progress in regional integration.

In a statement on Thrusday evening,  EAC Secretary General Veronica  Nduva reminded all partner states that they had agreed to remove trade and investment barriers and allow free movement of people, services, and businesses across the region. She said going back on these promises violates the terms of the protocol and weakens the goals of unity.

“The Protocol explicitly emphasizes that Partner States shall not reverse or restrict sectors and trades they have previously liberalized,” said Nduva, referring to the commitments listed in Annex V of the EAC Common Market Schedule on liberalisation of services.

She warned that any country taking unilateral steps that affect trade or movement is going against agreed rules.

“It is important to remind all Partner States that unilateral backtracking on these commitments is inconsistent with the obligations under the Protocol,” she said.

Nduva pointed out that the legal position had already been confirmed by the Attorneys General during the Sectoral Council on Legal and Judicial Matters in November 2024, making it clear that such actions have no legal support within the bloc.

The Secretariat, she said, is currently reviewing how well each partner state is following the protocol, and any breaches will be presented at the next meeting of the Sectoral Council on Trade, Industry, Finance and Investment.

“All Partner States are encouraged to adhere to the obligations they have committed to in order to maintain the integrity of our regional single market,” she said, urging countries not to undermine the collective progress made so far.

These remarks come amid a growing dispute between Kenya and Tanzania over a new directive issued by Tanzania’s Trade and Industry Minister Selemani Saidi Jafo.

The directive blocks foreigners from operating in 15 types of businesses and imposes penalties including fines of at least TSh10 million, cancellation of permits, and possible jail terms.

Kenya has formally written to the EAC Secretariat seeking intervention, saying the move is a clear violation of regional laws.

EAC Principal Secretary Caroline Karugu said the directive contradicts key sections of the Common Market Protocol, including provisions that protect the right of establishment and the provision of services across borders.

“The Order undermines the core objectives of regional economic integration and poses a significant setback to the gains made under the EAC Common Market Protocol,” Karugu said.

She added that Tanzania’s licensing authorities have already begun enforcing the order, putting Kenyan traders in the country at risk.

Kenya’s Trade Cabinet Secretary Lee Kinyanjui said while the country hopes for dialogue, it is not ruling out retaliatory options. “On whether Kenya will retaliate... Yes, that is one of the cards on the table but we first want to exhaust the diplomatic channels,” he said.

“The EAC remains committed to fostering a seamless regional integration process and calls on all Partner States to uphold the principles enshrined in the establishing Treaty and Common Market Protocol,” Nduva concluded.