The East African Community has launched a new regional customs instrument, the EACBond, which will allow traders to use a single bond when transporting goods across participating partner states.

The initiative, unveiled on Monday, August 4 in Kampala, is expected to lower the cost of doing business and reduce clearance delays at border posts.

The EACBond aims to eliminate the need for importers to pay multiple national customs bonds in each country their goods pass through. Instead, a trader will secure one customs bond to cover cargo movement across the entire region, reducing bureaucracy and freeing up capital for businesses.

"The EAC is today launching the EACBond, a regional customs guarantee instrument that replaces the need for multiple national bonds when transporting goods across Partner States," the EAC Secretariat said in a statement.

The new system will not apply to all eight EAC members immediately. Kenya, Rwanda, and Uganda will participate in the initial pilot phase, with plans to include Tanzania, Burundi, South Sudan, the Democratic Republic of Congo, and Somalia in later stages.

A specific timeline for full regional implementation has not been provided.

According to the EAC, the rollout will be coordinated through national customs authorities and enforced using automated systems linked to customs operations and cargo tracking platforms.

These systems are designed to monitor cargo movement and manage risks efficiently.

"By allowing traders to secure their entire cargo journey with a single bond, the EACBond will significantly reduce trade costs, ease border delays and free up business capital," the statement added.

EAC Secretary General Veronica Nduva, who presided over the launch in Uganda, emphasised the economic value at stake and the constraints faced by traders under the previous system of high financial guarantees and complicated border procedures.

"Each year, over $35 billion (Sh4.5 trillion in current exchange rates) worth of goods move through our regional corridors," she said.
"Yet, much of this trade has been constrained by high financial guarantees and complex border procedures. The EACBond simplifies compliance, reduces operational costs and unlocks your working capital."

The regional customs bond marks a significant step toward deeper trade integration in East Africa by making cross-border trade more efficient and affordable for businesses.