The Impact of the Economic Partnership Agreement on East African Community Trade with European Union: A Gravity Model Approach

This paper analyzes the impact of the Framework Economic Partnership Agreement (FEPA) on East African Community (EAC) trade with European Union (EU) for the period from 2000 to 2018. The analysis was carried out to estimate the impact of the interim EPA on EAC trade with EU using Gravity model approach. The variables employed in the study included trade flow of goods (exports and imports) between the two trade blocs, mass variables (real GDP growth, and per capita GDP) and dummy variables for capturing FEPA and time. The findings show that generally interim EPA did not benefit EAC economies and suggest potential for trade diversion. Burundi trade was adversely affected by FEPA while Kenya and Tanzania exports were positively impacted. The results may be influenced by weak productive capacities in EAC, global financial crisis which reduced global consumption demand, increased intra-EAC trade and trade with COMESA and SADC as well as low supply of goods for EU market. Keywords: Gravity model approach, Economic Partnership Agreement, EAC, EU DOI: 10.7176/JESD/10-10-22 Publication date:May 31st 201

Local government finances and financial management in Tanzania

This report provides baseline data on local government finance and financial management in six councils in Tanzania: Bagamoyo District Council, Ilala Municipal Council, Iringa DC, Kilosa DC, Moshi DC, and Mwanza City Council. The data cover the period 2000-2003 and represent a reference point for the situation in the six councils with respect to various dimensions of local government finance and financial management in this period. The following themes are covered by the study: (a) the degree of fiscal autonomy; (b) methods of revenue collection; (c) financial management, including budgeting, accounting and auditing; (d) transparency in fiscal and financial affairs; and (e) tax compliance and fiscal corruption. In essence, a small, common database has been developed for all the case councils.Public finance Local government Financial management Tanzania