The East African Community (EAC) on Monday, August 4, officially launched the EACBond, a transformative customs guarantee mechanism designed to simplify the movement of goods across Partner States.
Under this new system, importers will only need to secure one regional customs bond, replacing the costly and complex requirement of separate national bonds for each country.
“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 announced.
A customs bond acts as a financial guarantee that ensures goods in transit comply with customs regulations. The EACBond will significantly reduce trade costs, ease border delays, and unlock working capital for businesses.
“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 EAC added.
Pilot Phase and Regional Rollout
The pilot programme will begin in Kenya, Rwanda, and Uganda, with plans to progressively include all eight EAC Partner States. The remaining countries—Tanzania, Burundi, South Sudan, Democratic Republic of Congo (DRC), and Somalia—will be integrated in later phases, coordinated through national customs authorities.
“Compliance will be enforced through automated systems linked with customs and cargo tracking, ensuring that all movements are monitored and risk managed,” the EAC noted.
SCT Framework: The Backbone of EACBond
The EACBond is anchored in the Single Customs Territory (SCT) framework, introduced in 2014 to harmonise customs procedures across the region. According to the Kenya Revenue Authority, the SCT enables:
- Interconnectivity of customs systems for real-time data sharing
- Joint cargo clearance at the first point of entry
- Revenue reconciliation between Partner States
- Reduced duplication of customs documentation
This integration ensures that goods are cleared once and tracked seamlessly across borders, enhancing transparency and reducing fraud.
Unlocking Regional Trade Potential
Speaking at the launch in Kampala, Uganda, EAC Secretary General Veronica Nduva emphasised the economic significance of the initiative:
“Each year, over $35 billion (Ksh4.5 trillion) 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 EACBond is expected to accelerate regional integration, lower consumer prices, and improve delivery timelines.
