The Africa Knowledge for Results Initiative

(AfriK4R)

Presentation by

Anne Ndirangu

COMESA Secretariat

AfCoP-MfDR

COMESA

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Africa Knowledge for Results Initiative (AfriK4R) objectives

1) The project is a response to the need to build country capacity

on Managing for Development Results (MfDR) and promote

regional integration in Africa.

2) Assist the African Community of Practice for Managing for

Development Results (AfCoP) to support the member States to

mainstream MfDR into their policies and strategies.

3) Enhance the capacity of the RECs, namely the West African

Economic and Monetary Union (WAEMU) and the Common

Market for Eastern and Southern Africa (COMESA), and their

member countries to accelerate the implementation of regional

policies and programs by using the MfDR approach.

AfriK4R

The rationale behind the development of AfriK4R is that The

African continent is replete with examples of good practices. But

significant disparities exist between sub-regions, between

countries within the sub-regions. It is agreed that if these good

practices are shared, and harmonized, and applied using the

results-based management principles, the policy performances

will be enhanced and regional integration improved.

Regional Level Activities

1) Creating and supporting two regional CoPs (in the COMESA region and WAEMU zone to share good

practices on MfDR and policy convergence).

2) Developing methodologies on readiness assessment on MfDR and the level of implementing regional

policies to set the baseline for assessing progress, building on existing approaches at national level.

3) Developing regional standards and common indicators to measure progress and harmonized reporting

format to ensure comparability of the performance of the countries.

4) Training coaches on methodologies and Rapid Results Approach which will be rolled out at the country

level. In each region (COMESA and WAEMU), three practitioners, including at least one woman, will be

selected per country to be trained by specialized consultants.

5) Establishing regional thematic clusters from the existing bodies of the RECs, composed of groups of

parliamentarians, directors of economic and financial administration, the private sector and civil society,

including associations of women and youth to carry out follow-up and advocacy actions in order to

accelerate the implementation of the agreed regional policies. Three regional clusters will be created by

the regional CoPs in each of the two regions.

6) Organizing regional peer-review meetings (one each year) with officials of the RECs and their member

states, members of the regional CoPs and the regional clusters to emulate RECs member countries and

help those lagging behind to catch up.

7) Building the capacity of WAEMU and COMESA on MfDR by assessing their MfDR readiness and training

their staff.

National level activities

1) Supporting the 8 existing national CoPs and creating 9 new ones where needs have been expressed in the

two RECs to serve as change agents, to instill results culture in the countries and adapt the knowledge

gained at global and regional levels in order to improve the country processes and help implement the

agreed regional policies.

2) Organizing seminars for high-level policy makers at the country level securing buy-in of the government

officials (one seminar per country for about 35-40 people each).

3) Launching readiness assessment of MfDR and regional policy implementation at the country level to set

up the country baseline and developing action plans with coherent strategies to tackle challenges

identified and fill the performance gap with clear and measurable targets, baselines and monitoring

systems integrated into the existing country results frameworks. This will be organized by national

steering committee for each country.

4) Organizing training sessions on MfDR and RRA to strengthen the country capacity, namely the capacity of

the institutions in charge of the identified strategic areas of regional policies (three training sessions per

country for mainly regional integration-related institutions’ staff).

5) Coaching the implementation of the action plans to enable policy implementers perform assigned tasks

well.

6) Drafting the country performance report on progress towards implementation of the action plans, to be

validated at the country level using a participatory approach. The report will be submitted by each

country to the regional peer reviewers. This will be coordinated by the national steering committees.

Domestication/ Transposition/ Mainstreaming

Ensuring that policy and administrative measures are put in place to

implement regional agreements, decisions, protocols at national level.

It involves giving force by a Member State to a Regional Commitment

by passing appropriate Implementation, Application and Enforcement

means by ensuring that policy and administrative measures are put in

place to implement regional agreements, decisions, protocols at

national level).

COMESA MTSP versus AFrik4R

COMESA MTSP has Six pillars. AfriK4R will focus on

three main strategic policy areas:

1) Effective Institutions and Public Financial

Management Systems.

2) Trade facilitation and free movement of goods and

factors

3) Business environment.

Activities….

Assessing the level of the implementation of the regional policy at country level in

the selected areas to establish baselines

Defining common indicators to monitor progress

Establishing standard formats to report on performance

Identifying best practices and building consensus on the best practices through

extensive stakeholder consultations

Defining action plans with agreed targets based on the best practices

Coaching stakeholders on the implementation of the action plans at the country level

Providing space for review, dialogue, mutual learning, and accountability with the

participation of the advocacy groups composed of the regional clusters.

Effective Institutions and Public Financial Management

Systems

We are proposing to use a regional scorecard based on the Public Expenditure and

Financial Accountability (PEFA) criteria:

1) Credibility of the budget

2) Comprehensiveness and transparency

3) Policy-based budgeting

4) Predictability and control in budget execution

5) Accounting, recording and reporting

6) External scrutiny and audit

Trade facilitation and free movement of goods and factors

1) Exporting procedures

2) Importing procedures

3) Customs documentation and administrative procedures

4) Free movement of people (immigration procedures)

5) Inspection procedures

6) Transiting procedures

7) Road blocks

Improving Business environment

1) Starting a business

2) Dealing with construction permits

3) Getting electricity

4) Registering property

5) Getting credit;

6) Protecting investors

7) Paying taxes;

8) Enforcing contracts

COMESA TRADE AND CUSTOMS

PROGRAM

Presentation by

Dr. Francis Mangeni

Director

Trade & Customs Division

COMESA Secretariat

COMESA…..

Secretariat (Lusaka –Zambia)

COMESA is a regional economic grouping made up of 19 Member States (Burundi, Comoros, DRC, Djibouti, Egypt, Ethiopia, Eritrea, Kenya, Libya, Malawi, Madagascar, Mauritius, Rwanda, Swaziland, Seychelles, Sudan, Uganda, Zambia and Zimbabwe).

One of the building blocs of the African Economic Community under the Abuja Treaty and the AU Constitutive Act

Total area 12.2 million sq km

Estimated population of over 400 million

Combined GDP of over USD 345 billion (potentially one of the largest markets in the world)

Established in 1994 to succeed the Preferential Trade Area (PTA) for Eastern and Southern Africa that had been in existence since 1981.

COMESA’s principal focus is promoting regional integration through trade development, investment promotion and sustainable utilization of natural resources for the mutual benefit of all the citizens of the region.

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VISION

To have a fully integrated internationally competitive

regional economic community within which there is

economic prosperity and peace as evidenced by

political and social stability and high standards of living

for its people

MISSION

To endeavor to achieve sustainable economic and social

progress in all Member States through increased co-

operation and integration in all fields of development

COMESA Policy Organs

COMESA has four organs that have the power to take decisions, namely:

1) the Authority of Heads of State and Government;

2) the Council of Ministers;

3) the COMESA Court of Justice;

4) the Committee of Governors of Central Banks.

NB:

The Intergovernmental Committee of Permanent Secretaries, Technical

Committees of experts, the COMESA Secretariat and the Consultative

Committee make recommendations to the Council of Ministers.

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COMESA Regional Integration Process The COMESA approach to regional integration is the classical stage-by-stage gradual method of progressing from:

1) Preferential Trade Area (PTA), 2) Free Trade Area (FTA), 3) Customs Union, 4) Common Market 5) Monetary Union.

The practice, however, shows that progress is being made on all these stages at the same time. This practical approach was adopted for the basic reason that various elements of the different stages are complementary and assist the integration process at any one point in time.

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Approach to Regional Integration …..

African Economic Community (2025)

Monetary Union (2018)

Common Market (2015)

Customs Union (2009??)

FTA (2000)

Regional Integration…

COMESA launched a Customs Union in June 2009 and plans to progress to a Common Market by 2015, and a Monetary Union by 2018. By 2025, COMESA expects to be a single trade and investment area in which tariffs, non-tariffs and other impediments to the movement of goods, services, capital and people will not be in existence, while trade in goods and services from the region should have achieved global market competitiveness.

COMESA Customs Union 1. COMESA launched a Customs Union in June 2009 with the adoption of a Customs

Union Roadmap to ensure that the activities for the operationalization of the Customs Union were implemented on time by all member States during a three-year transition period.

2. Council also decided that a review of the performance during the transition period should be done eighteen (18) months from the date of the launch of the Customs Union and if deemed necessary, the transition period would be extended for a period not exceeding five years from the date of the launch.

3. Noting that Member States had made little progress with regard to the implementation of Council decisions during the transition period, the COMESA Authority, at their 15th Summit, established a Ministerial Task Force to work with member States to review progress on the implementation of the Customs Union and take decisions on whether the Customs Union could come into force by 1 July 2012. The Twenty Eighth meeting of Trade and Customs Committee held on 18 – 20 July 2012 recommended that the transition period for the Customs Union be extended for a further two years and urged Member States to complete migration/ implementation of the outstanding issues during the two-year transition period.

Angola

CFA Franc

Zone

SACU

CMA

IGAD AMU

SADC

ECOWAS

CEMAC UEMOA

ECCAS

EAC

COMESA

WAMZ

Egypt

Libya

Algeria Morocco Mauritania Tunisia

Somalia Sudan

Djibouti

Eritrea

Ethiopia

DRC

Tanzania

Malawi,

Zambia,

Zimbabwe

Mauritius,

Madagascar

Comoros

Seychelles

Reunion (France) Swaziland Lesotho

Namibia South

Africa

Botswana

Mozambique

Cape

Verde

Liberia

Gambia

Guinea

Nigeria

Ghana

Sierra Leone

CAR Cameroon

Congo

Equatorial Guinea

Gabon

Sao Tome and

Principe

Benin Burkina Faso Cote d’Ivore Guinea-Bissau Mali Niger Senegal Togo

IOC

ECCAS CEMAC

UEMOA

Some of Africa’s Integration and Cooperation Groups

ECCAS ECCAS

Kenya

Uganda Rwanda

Burundi

Morocco

Tunisia

GAFTA

CENSAD

COMESA – Common market for Eastern & Southern Africa

ECOWAS – Economic Community of West African States

CEMAC – Economic Community of Central African States

ECCAS – Economic Community of Central African States

IGAD – Inter-Governmental Authority on Development

UEMOA - West African Economic and Monetary Union

SADC – Southern Africa Development Community

GAFTA – Greater Arab Free Trade Area

SACU – Southern Africa Customs Union

CMA – Common Monetary Agreement

EAC – East African Community

AMU – Arab Maghreb Union IOC – Indian Ocean Community WAMZ – West African Monetary Zone CENSAD: Community of Sahel-Saharan States

AU-recognises only 8: ECOWAS, COMESA, ECCAS, SADC, IGAD, AMU, CEN-SAD & EAC.

COMESA-EAC-SADC TRIPARTITE FTA

The Tripartite framework was born out of a realisation that the regional integration processes of COMESA, EAC and SADC were similar and in some cases identical. With overlaps in the membership of these 3 RECs, it was seen prudent for the 3 RECs to co-operate and harmonise their trade, infrastructure and other regional integration programmes.

Of the (19) Member States of COMESA, (8) are also members of SADC and (4) are Partner States of the EAC. Of the (15) Member States of SADC, (1) is a Partner State of EAC.

DRC

Tanzania

Malawi,

Zambia,

Zimbabwe

Mauritius,

Madagascar

Comoros

Seychelles

Swaziland Lesotho

Namibia

South Africa

Botswana

Mozambique

EAC

Tripartite Vision

SADC

COMESA

Kenya

Uganda

Rwanda

Burundi

Angola

From this… Egypt

Libya

Sudan

Djibouti

Eritrea

Ethiopia

Tripartite Vision

DRC

Tanzania

Malawi

Mauritius

Seychelles

Swaziland

South Africa

Botswana Mozambique

Kenya

Rwanda

Angola

Egypt Libya

Eritrea

Namibia

Lesotho

Zimbabwe

Uganda

Ethiopia

Sudan

Djibouti

Zambia

Madagascar

Comoros

Burundi

(Somalia)

To this…

First FTA

Then a Customs

Union

and eventually a Common

Market

Tripartite Framework….

The Tripartite framework of co-operation and harmonisation of regional policies and programmes among the Common Market for Eastern and Southern Africa (COMESA), the East African Community (EAC) and the Southern Africa Development Community (SADC) was launched in 2001 between COMESA and SADC and later extended to include the EAC in 2005.

Tripartite Summits….. The First Tripartite Summit took place in Kampala,

Uganda October 2008 (This historical Summit endorsed the Tripartite Framework and gave it political direction and made important decisions.

The Second Tripartite Summit was hosted by the Republic of South Africa on 12 June 2011 in Johannesburg.

The Arab Republic of Egypt has offered to host the Third Tripartite Summit envisaged to be held in 2013.

Tripartite Negotiations (1st Phase)

Adopted a developmental approach to the Tripartite Integration process which will be anchored on three (3) pillars namely:

1. Market integration based on the Tripartite Free Trade Area (FTA);

2. Infrastructure Development to enhance connectivity and reduce costs of doing business;

3. Industrial Development to address the productive capacity constraints of the region.

Thank you/Merci

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Presentation by

Emily Mburu-Ndoria

for Thierry K. Mutombo

Ag. Director Investment and Private sector Development

COMESA SECRETARIAT

Email: tkalonji@comesa.int

Friendly Business environment and New

Investment policies in COMESA region

Outline

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Introduction and Mandate

Investment Promotion

Private Sector Development

1. Introduction and Mandate

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Three main sub-programmes:

Investment promotion

Private Sector Development

Agriculture and related matters

Mandate: to contribute to the regional economic

integration through increased Trade and Investment in

the COMESA region

Focus of the presentation: Business environment and

New investment policies in the COMESA region

2. Investment Promotion

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Establishment of the COMESA Common Investment

area (CCIA) in order to promote the region as an

attractive investment area

Establishment of the COMESA regional Investment

Agency to promote COMESA investment

opportunities

Existing institutions to support trade and investment

(PTA Bank, ATI, ZEP RE…)

2. Investment Promotion

2.1. Regional Investment Policies

Adoption of the COMESA Investment Agreement for the

CCIA in May 2007

Some of the main features of the CCIA: Grant the national

treatment to COMESA Investors, Opening up of economic sectors,

Cooperation among countries on investment promotion

• Adoption in 2012 of a COMESA Model on Double

Taxation Agreement to promote cross border investments

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2. Investment Promotion (Cont)

2.2 Investment policies for sustainable development in

COMESA countries:

It has been noticed: an increase of claims related to Investor-

State based dispute resolution faced by governments (mostly

developing countries), with Argentina topping the list, followed by

Mexico.

Need for assessing existing investment policies and match them

with the vision and development goal of the country, resolving the

issue of inconstancy which is a result of lack of transparency and

underground economy

Need for reformulation of some provisions contained in the

existing country investment policies and rules by limitation of their

scope

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2. Investment Promotion (Cont)

The review of the investment policies in the COMESA

region should consider among others following aspects:

Scope of the definition of “Investment” and “Investor”

Scope of expropriation( indirect expropriation)

Performance requirements from investors

Right for host country to regulate

Balance between investor’s rights and national interest

Balance between investors and State obligations

Environmental requirements

Consideration of national development goals

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3. Private Sector Development

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3.1 Overall programme

Under this programme the division is addressing

the constraints hampering private businesses to

prosper.

The programme aims at creating a conducive

business environment in the COMESA region

The programme includes among others:

- a regional roadmap that was adopted in June

2010 by Member States and further endorsed by

the Council of Ministers

3. Private Sector Development (cont)

-Implementation of the regional roadmap

through technical support to Member states in :

formulation of a national roadmap on improvement of

business environment with all the stakeholders (public and

private sectors)

setting up a national steering committee to implement the

country roadmap

setting up a monitoring mechanism to review and assess

the progress made in the implementation of the country

roadmap( Zimbabwe, Swaziland, Djibouti and DR Congo)

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3.Private Sector Development (cont)

3.2 COMESA BUSINESS Council (CBC)

The CBC is a coordination platform for private sector

bodies in the region which encourages sharing of

information and creation of business partnerships

The CBC convenes an annual business forum where

private sector has an opportunity to interact with the

COMESA Policy makers and make recommendations on

friendly policy formulation to support the private sector

interest

The CBC also coordinates and disseminates analytical

works on private sector development

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THANK YOU FOR YOUR ATTENTION

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