The East African Community (EAC) has launched the EACBond, a regional customs guarantee that replaces multiple national bonds when transporting goods across Partner States.
The EACBond allows traders to secure their entire cargo journey with a single bond, reducing trade costs, easing border delays and freeing up business capital.
The launch took place in Kampala, Uganda, at a high-level event attended by government officials, logistics firms, banks, insurance providers and customs representatives.
Uganda, Kenya and Rwanda will pilot the bond before it is rolled out to all EAC Partner States. Customs authorities will coordinate the rollout, with compliance enforced through automated systems linked to cargo tracking.
A customs bond is a financial guarantee ensuring the government can recover duties or taxes if traders fail to comply with customs regulations. Previously, goods moving from the Port of Mombasa to destinations such as Kampala or Kigali required separate bonds or deposits at each border, tying up capital and increasing costs.
The EACBond removes these repetitive requirements, simplifying customs clearance, reducing expenses and enabling businesses to reinvest working capital in growth and job creation.
Uganda’s Minister of State for East African Community Affairs, James Magonde Ikuya, described the EACBond as a “game changer” that will cut costs, speed up trade and strengthen Uganda’s role in the regional economy.
EAC Secretary General, Veronica Nduva, said the bond will lower consumer prices, improve transparency through real-time tracking, and reduce fraud and cargo diversion. She added that nearly USD 2 billion in previously tied-up capital will be released back into the economy, creating opportunities in production, logistics and innovation.
EAC Deputy Secretary General for Customs, Trade and Monetary Affairs, Annette Ssemuwemba Mutaawe, noted that the EACBond is the result of a decade-long effort to develop a unified regional customs guarantee aligned with the EAC Customs Union and Single Customs Territory.
Integrated into the wider digital trade facilitation system, including the Regional Electronic Cargo Tracking System (RECTS), the EACBond will enhance transparency, curb fraud and safeguard revenues while supporting compliant traders.
