South Sudan's National Policy and Strategy on EAC Implementation

Article 5 (1) of the EAC CMP 38 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 4.2.1 The EAC Common Market Protocol: the Details Based on the provisions of Articles 76 and 104 of the Treaty, the Common Market Protocol (CMP) provides for the following: a) The free movement of goods (also part of the Customs Union Protocol); b) The free movement of persons (see Section 4.2.1.2 for details); c) The free movement of labour (see Section 4.2.1.3 for details); d) The free movement of services (see Section 4.2.1.1 for details); e) The free movement of capital (see Section 4.2.1.6 for details); f) The right of establishment (see Section 4.2.1.4 for details); and g) The right of residence (see Section 4.2.1.5 for details). The Common Market is guided by the fundamental principles enshrined in Articles 6 and 7 of the Treaty. Partner States need to ensure the following: a) Observe the principle of non‐discrimination of nationals of other Partner States on grounds of nationality; b) Accord treatment to nationals of other Partner States, not less favourable than the treatment accorded to nationals of Third Party States; c) Ensure transparency in matters concerning the other Partner States; and d) Share information for the implementation of the CMP. The details regarding the Protocol can be seen in Table 2. Table 2: Common Market Protocol and Annexes ARTICLE ESTABLISHMENT OF THE EAST AFRICAN COMMUNITY COMMON MARKET

ARTICLE 2: Establishment of the East African Community Common Market

ARTICLE 3: Principles of the Common Market

ARTICLE 4: Objectives of the Common Market

ARTICLE 5: Scope of Co-operation in the Common Market FREE MOVEMENT OF GOODS

ARTICLE 6: Free Movement of Goods FREE MOVEMENT OF PERSONS AND LABOUR

ARTICLE 7: Free Movement of Persons

ARTICLE 8: Standard Identification System

ARTICLE 9: Travel Documents

ARTICLE 10: Free Movement of Workers

ARTICLE 11:Harmonisation and Mutual Recognition of Academic and Professional Qualifications

ARTICLE 12: Harmonisation of Labour Policies, Laws and Programmes RIGHTS OF ESTABLISHMENT AND RESIDENCE

ARTICLE 13: Right of Establishment

ARTICLE 14: Right of Residence

ARTICLE 15: Access to and Use of Land and Premises FREE MOVEMENT OF SERVICES

ARTICLE 16: Free Movement of Services

ARTICLE 17: National Treatment

ARTICLE 18: Most Favoured Nation Treatment

ARTICLE 19: Notification

ARTICLE 20: Domestic Regulation

ARTICLE 21: General Exceptions to Trade in Services 39 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION

ARTICLE 22: Security Exceptions on Trade in Services

ARTICLE 23:Implementation of the Free Movement of Services FREE MOVEMENT OF CAPITAL

ARTICLE 24: Elimination of Restrictions on the Free Movement of Capital

ARTICLE 25: General Exceptions

ARTICLE 26: Safeguard Measures

ARTICLE 27: Conditions for Application of the Safeguard Measures

ARTICLE 28: Capital and Related Payments and Transfers OTHER AREAS OF CO-OPERATION IN THE COMMON MARKET

ARTICLE 29: Protection of Cross-Border Investments

ARTICLE 30: Economic and Monetary Policy Co-ordination

ARTICLE 31: Financial Sector Policy Co-ordination

ARTICLE 32: Harmonisation of Tax Policies and Laws

ARTICLE 33: Prohibited Business Practices

ARTICLE 34: Prohibited Subsidies

ARTICLE 35: Public Procurement

ARTICLE 36: Consumer Protection

ARTICLE 37: Co-ordination of Trade Relations

ARTICLE 38: Co-ordination of Transport Policies

ARTICLE 39: Harmonisation of Social Policies

ARTICLE 40 : Environmental Management

ARTICLE 41: Cooperation in Statistics

ARTICLE 42: Research and Technological Development

ARTICLE 43: Co-operation in Intellectual Property Rights

ARTICLE 44: Co-operation in Industrial Development

ARTICLE 45: Co-operation in Agriculture and Food Security GENERAL PROVISIONS

ARTICLE 46: Institutional Framework

ARTICLE 47: Approximation and Harmonisation of Policies, Laws and Systems

ARTICLE 48: Safeguard Measures

ARTICLE 49: Measures to Address Imbalances

ARTICLE 50: Monitoring and Evaluation of Implementation of the Common Market

ARTICLE 51: Regulations, Directives and Decisions Annex Protocol Description I: Free movement of persons regulations: II: Free movement of workers regulations III: Right of establishment regulations: IV: Right of residence regulations V: Schedule of commitments on the progressive liberalization of services VI: Schedule on the removal of restrictions on the free movement of capital The remainder of this section outlines the details of CMP provisions of its key components and freedoms as outline immediately above. 4.2.1.1 Trade in Services Partner States in Article 16 of the CMP are to guarantee the free movement of services Trade in services covers the following modes of supply: a) Cross border supply of services: from the territory of one country, into the territory of another country (mode I). Such services include telecommunication and banking services; 40 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION b) Consumption abroad: in the territory of one country, to service consumers from another country (mode II). These services include medical and tourism services where nationals of a Partner State travel to consume the service in the territory of another Partner State; c) Commercial presence: by a service supplier of in one country, through the commercial establishment in the territory of another country (mode III); these encompass all sorts of commercial activities where nationals of EAC Partner State establish companies and subsidiaries, to conduct business; and d) Movement of natural persons: by the presence of a service supplier from another country, into the territory of another country to supply a service (mode IV). The freedom of movement of services is limited to those services liberalized under the Partner States’ schedule of commitments embedded in the EAC CMP Schedule of Commitments in the Progressive Liberalization of Services Annex V. At this point, it is also important to add that as a young country South Sudan needs to be open for provision of critical business services from abroad to be able to run an efficient economic system in the country. 4.2.1.2 Free Movement of Persons The free movement of persons who are nationals is also enshrined in the CMP. To facilitate the implementation of this freedom, each Partner State is to ensure non‐discrimination of the citizens of the other Partner States based on their nationalities by guaranteeing: a) The entry of citizens of other Partner States into their territory without a visa; b) Free movement of persons who are citizens of the other Partner States within their territories; c) The right to stay by citizens of other Partner States in their territories; d) The right to exit by citizens of other Partner States in their territories without restrictions. Partner States are enjoined to establish a common standard system of issuing national identification documents to their nationals which is to be the basis for identifying the citizens of the Partner States within the Community. Students from other Partner States wishing to study in the host Partner State are obliged to apply for a student pass, which shall be issued free of charge. 4.2.1.3 Free Movement of Workers The freedom of movement of workers is guaranteed under the Common Market Protocol within the Community based on the principle of national treatment concerning all conditions of employment. Freedom of movement of workers within the Community entitles the worker to the following: a) Apply for employment and accept offers of employment actually made; b) Move freely within the territories of the Partner States for the purpose of employment; 41 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION c) Conclude contracts and take up employment in accordance with the contracts, national laws and administrative actions, without any discrimination; d) Stay in the territory of a Partner State for the purpose of employment in accordance with the national laws and administrative procedures governing the employment of workers of that Partner State; e) Enjoy the freedom of association and collective bargaining for better working conditions in accordance with the national laws of the host Partner State; and f) Enjoy the rights and benefits of social security as accorded to the workers of the host Partner State. The worker is also entitled to move with his family; the spouse of such a worker is entitled to employment in the host state, as well as his children of employable age. This freedom does not extend to employment in the public service of the host state unless the national laws so permit. The freedom of movement of workers is only limited to those workers contained in the schedule of commitments made by the Partner States. This schedule is found in the EAC Common Market (Free Movement of Workers) Regulations, Annex II to the CMP. Concerning self- employed persons, the removal of restrictions under the right of establishment relating to trade in services shall be per the EAC Common Market Schedule of Commitments in the Progressive Liberalization of Services, Annex V. The implementation of this freedom is also to be facilitated by other annexes to the CMP; these are the EAC Common Market (Right of Residence) Regulations Annex IV and the EAC Common Market (Right of Establishment) Regulations. Work Permits Workers who have contracts of employment for more than ninety days in the territory of a host State are obliged to apply to the competent authority for a work permit within fifteen working days from the date of entry into the territory of the host Partner State. The work permit issued under these Regulations is to be under the harmonized classification of work permit and forms, fees and procedures as may be approved by the Council. For self- employed persons who intend to take up and pursue economic activities, or to set up and manage economic undertakings in the territory of another Partner State, they are obliged to apply to a competent authority for a work permit within thirty working days from the date of entry into the territory of the host Partner State. The work permit issued is to be under the harmonized classification of work permit and forms, fees and procedures as may be approved by the Council. 4.2.1.4 Right of Establishment The right of establishment by nationals of EAC Partner States within the Community is guaranteed under the CMP. Partner States are to ensure non- discrimination of the nationals of the other Partner States, based on their nationalities. The right of establishment entails the following entitlements: 42 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION a) To take up and pursue economic activities as a self- employed person; and set up and manage economic undertakings in the territory of the host Partner State; b) As a self‐employed person to join a social security scheme under the national laws of the host State; c) National treatment and non-discrimination of companies, firms and self-employed persons from other Partner States by the host state and non-introduction of any new restrictions on the right of establishment save as provided under the CMP. The implementation of this right is to be facilitated by the EAC Common Market (Right of Establishment) Regulations, Annex III to the CMP. 4.2.1.5 Right of Residence Partner States are obligated to guarantee the right of residence to the citizens of the other Partner States who have been admitted in their territories under the freedom of movement of workers in Article 10 and the right of establishment in Article 13 of the CMP. The right of residence guaranteed above shall also apply to the spouse, child and a dependant of a worker or self‐employed person. Under the above right, Partner States are obliged to issue residence permits to citizens of other Partner States. This right is subject to limitations imposed by the host Partner State on grounds of public policy, public security or public health. However, matters pertaining to the permanent residence are to be regulated by national laws and policies of the Partner States. The implementation of this obligation is under the EAC Common Market (Right of Residence) Regulations, Annex IV to the CMP. Residence Permits A worker or self-employed person who intends to reside in the territory of a host Partner State is obligated to apply to a competent authority for a residence permit within thirty days from the date of entry into the territory of the host Partner State. The residence permit issued is to be under the harmonized classification of residence permits, forms, fees and procedures as may be approved by the Council. 4.2.1.6 Free Movement of Capital Free movement of capital is among the four freedoms set out in Article 76 of the Treaty to be guaranteed by the EAC Partner States. This freedom is governed in the CMP, as well as the Monetary Union Protocol. Partner States are to facilitate the free movement of capital under the following conditions: a) Remove restrictions between the Partner States, on the movement of capital belonging to persons resident in the Community; b) Remove any discrimination based on the nationality or the place of residence of the persons or on the place where the capital is invested; c) Remove any existing restrictions and not introduce any new restrictions on the movement of capital and payments connected with such movement and on current payments and transfers, or apply more restrictive regulations; and 43 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION d) Remove restrictions relating to current payments connected with the movement of goods, persons, services or capital between the Partner States under the provisions of the CMP. The implementation of this obligation is to be progressive and to be based on the schedule on the removal of restrictions on the Free Movement of Capital, Annex VI to the CMP. However, the CMP provides general exceptions that may be applied to restrict capital movements; a) To ensure prudential supervision, b) For public policy considerations, c) To prevent crime such as money laundering and d) Financial sanctions that may be agreed upon by the Partner States. Such restrictions as above are to be notified to the Secretariat and other Partner States accompanied with proof that the restriction was appropriate and justified. The CMP also provides for safeguard measures where the implementation of the freedom leads to disturbances in the functioning of the financial market of any Partner State. In cases where a competent authority of a Partner State intervenes in the foreign exchange market, which seriously distorts the conditions of competition, the other Partner States are mandated, for a strictly limited period, to institute the necessary measures to counter the consequences of the intervention. Partner States are also mandated to take safeguard measures, where one is in difficulties or is seriously threatened with difficulties, as regards its balance of payments. Nonetheless, some conditions must be met before the application of the safeguard measures can be undertaken; 1. Safeguard measures may be adopted that: a) Do not discriminate among the Partner States in favour of Third Party States; b) At all material times seek to minimize damage to the commercial, economic or financial interests of other Partner States; c) Do not exceed the safeguard measures necessary to deal with the particular disturbances or difficulties with the balance of payments; d) Must be temporary and be phased out progressively as the situation improves. 2. The Partner State concerned should accord priority to activities which are essential to its economic stability. 3. They are not to be adopted or maintained to protect a particular sector in contravention of the provisions of the CMP. 4. Such measures adopted or maintained or any changes to the safeguard measures must be notified to the Secretariat and to the other Partner States. 4.2.1.7 Banking and Capital Market Development Under the Treaty, Partner States have undertaken to implement within the Community, a capital market development programme that is to be determined by the Council and create 44 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION a good environment for the movement of capital within the Community. To achieve this objective, Partner States are enjoined to do inter alia; the following: a) Take steps to achieve wider monetization of the region's economies under a liberalized market economy; b) Harmonize their banking Acts; c) Harmonize capital market policies on the cross-border listing, foreign portfolio investors, taxation of capital market transactions, accounting, auditing and financial reporting standards, procedures for setting commissions and other charges; d) Harmonize the regulatory and legislative frameworks and regulatory structures; e) Harmonize and implement common standards for market conduct; and f) Harmonize policies impacting on capital markets. 4.2.2 EAC Tax Harmonization The EAC ‘acquis communautaire’4 contains numerous legal commitments by the Partner States to harmonize their tax regimes. In particular, Article 32 of the CMP notes that: “The Partner States undertake to progressively harmonize their tax policies and laws to remove tax distortions in order to facilitate the free movement of goods, services and capital and to promote investment within the Community.” This article is derived from Article 80(1) of the Treaty of Establishment of EAC. Article 80(1) vows to harmonise and rationalise investment incentives relating to the taxation of industries and avoid double taxation. Furthermore,

Article 83 (2) (e) of EAC Treaty, notes that Partner States shall harmonise their tax policies whereas Article 85 of the Treaty notes that EAC shall harmonise policies impacting on capital markets particularly granting of incentives for the development of capital markets. These provisions are an opportunity for South Sudan Government to incorporate international and regional best practices in its tax systems. It can lead to a reduction of the cost and time for tax compliance and promote an investor-friendly environment conducive to regional growth. It is also important to add that, some economic costs may be incurred as tax harmonization may lower domestic revenue. This is because of tax rationalization by firms and lowering the overall tax structure. The overall revenue effects of EAC tax reform, however, are likely to depend on idiosyncratic country characteristics and should be subject of further research. The work on tax harmonization is, to a large part, still ahead of the EAC. Hence, South Sudan has a chance to take an active role in jointly developing policies in this area. In line with the key objectives of this Strategy, South Sudan needs to reach consensus on ways forward with EAC Partner States. This consensus needs reflect the interests of South Sudan but also that of other Partner States. Some work on tax harmonization has already been undertaken by the EAC. In particular: 4 Acquis communautaire is the accumulated legislation, legal acts, and court decisions which constitute the body of East African Community’s Law. 45 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  With support from GIZ a background report on the technicalities for implementation of tax harmonization was drafted.  EAC Sectoral Council of Ministers on Trade, Industry, Finance and Investment has directed the EAC Secretariat to draft a tax harmonisation policy.  In 2018 and 2019, several meetings of the EAC’s Tax Policy and Tax Administration Sub-Committee and the Committee on Fiscal Affairs took place to develop the said policy. In addition, guiding principles for EAC Tax Harmonization have already been discussed and approved at EAC level. In particular, Partner States agreed that domestic tax harmonisation should be a gradual process. It should commence with harmonization of excise duties followed by value added tax (VAT) and finally income tax. Furthermore, focus of the harmonization of taxes will be on those aspects of tax regimes that eliminate tax-induced distortions, facilitate trade and investment and prevent harmful tax competition — rather than a perfect alignment of tax systems. Furthermore, in 2012 the EAC Agreement on Avoidance of Double Taxation has been approved. However, to date National Parliaments of Tanzania and Burundi have not yet ratified this Agreement. It is important to note that the Agreement seeks to eliminate double taxation among partner states with the following assumptions - profits of an enterprise are only taxable in the country of residence. The agreement stipulates that EAC firms will be exempted from paying taxes in their host country and only pay tax to their home country and hence avoid double taxation. The issue of Tax Harmonization at the EAC is discussed and implemented at various venues. This includes the Sub-Committee on Tax Harmonisation and the Fiscal Affairs Committee. Revenue Authorities and Ministries of Finance are key members of these Committees. In addition, Revenue Authorities created their own EAC Integration structures which include: the East African Revenue Commissioners General Forum (EARACG) and the East African Revenue Authorities Technical Committee (EARATC). The EAC has developed a Tax Treaty Policy which identifies international tax norms that Partner States should follow with respect to scope, distributive rules, double taxation, non- discrimination, and exchange of information. In line with these principles, the EAC prepared a Modal Tax Treaty. The intent of this document is for Partner States to follow a specific model when signing a Tax Treaty with third parties. Finally, The East African Revenue Authorities (EARA) established a ‘Memorandum of Understanding on Exchange of Information on tax, expertise and other related matters’ which also describes the way in which information should be exchanged. The MoU intends to cover not only exchange of information but also providing assistance in capacity building. Strategic Recommendations – Short Term Priorities: 46 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Ministry of Finance and Development Planning and the National Revenue Authority to join all the Forums and Committees related to tax harmonisation efforts and commence this work-stream in line with its description above.  Relevant Government Institutions to carry out an economic study which should aim to assess best ways for the EAC Tax Harmonisation. Such a study needs to assess the benefits and costs for South Sudan and the region regarding various possible ways forward on the issue. 4.2.3 EAC Standards and Quality Assurance 4.2.3.1 Overview From its very inception, the EAC worked on development of common technical, sanitary and phyto-sanitary standards. This areas of work is one of the key components of EAC Common Market. In the EAC, standards developed or adopted by the respective national standards bodies have been in existence for many years. The EAC Standardization, Quality Assurance, Metrology and Testing (SQMT) Act (2006) was developed in line with the EAC Protocol on SQMT which provided for regional cooperation in the areas of standards, metrology, conformity assessment, accreditation and technical regulations. The objective of the SQMT Act was to facilitate industrial development and trade. It also aimed to ensure protection of health and safety of society and the environment. Crucially, the SQMT Act also provided for the development of common East African Standards (EAS). The standards are developed jointly by the national standards bodies of the EAC Partner States in accordance with the procedures approved and maintained by the East African Standards Committee (EASC). Of course, standards are essential in helping the business community to be innovative, reduce business costs, improve quality and maintain competitiveness in local, regional and international marketplace. Prior to 2010, adoption rates of EAS in the EAC were low. This changed when guidelines for the harmonization of EAC Standards were developed. In addition, the East African Standards Catalogue was reviewed and revised. The revised Catalogue now contains 366 East African Standards and 800 International Standards endorsed by East African Standards Committee. All these standards need now to be adopted by the South Sudan’s Bureau of Standards. The country needs to catch up with other Partner States as such adoption in the EAC is rather high. A study by the East African Business Council (EABC) shows that adoption rates of EAC Standards for the selected sampled products was 100% by all the EAC Partner States except for South Sudan As already mentioned above, the EAC Partner States developed the Principles and Procedures for the Development of East African Standards (EAS). These procedures were intended to be used as a reference tool and guide for the development of EAS. They establish a preferred style for the development of the standards thereby allowing for 47 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION consistency of the documents, as well as elaborating on the methodologies and publication of standards. The procedures define the methodologies for the development and maintenance of EAS through the activities of technical committees and their subsidiary bodies. The procedures are intended to be used as resource materials for standards writers, editors, technical chairpersons and technical committee members and can additionally be used as a training tool. Once the need for a standard is established, it is assessed and a draft standard is developed that normally originates from any of the National Bureau of Standards. Thereafter the draft is discussed by the EAC Technical Committee members, comments on the draft are generated, assessed and incorporated into the draft until consensus is reached and the draft becomes a final draft EAS. The final draft EAS becomes an EAS after it has been declared so by the Council of Ministers and gazetted. Table 3 shows the stages of the development process of the EAS. Table 3: The Development of EAC Standards in stages Stage Associated Document Duration 1. Preliminary Stage Identification of a need for EAS N/A 2. Proposal Stage New Work Item Proposal 2-4 months 3. Preparatory Stage Working Draft 2 months 4. Committee stage (internal comments) Committee Draft 6 months 5. Enquiry stage (preparation for balloting) Draft East African Standard 2 months 6. Ballot stage Final Draft EAS 1 month 7. Approval and Declaration stage East African Standard N/A 8.Publication stage East African Standards N/A Total 19 Months Source: East African Business Council, 2016 4.2.3.2 The Administrative Structures for SQMT in the EAC The three key administrative structures according to the SQMT Act are: • The East African Standards Committee (EASC), • The Liaison Office, and • The East African Accreditation Board (EAAB). The EASC was established under Section 4 of the SQMT Act. It has a crucial mandate that includes coordinating activities related to standardization, metrology and conformity assessment. The Standards Technical Management Committee (STMC) is responsible for developing and harmonizing EAS. The Liaison Office under section 5 of the Act provides administrative support to the EASC. The tasks of the office include: providing logistical support to the EASC in the design and management of EAC projects for the implementation of standardization, metrology and conformity assessment activities as well as cataloguing of the declared EAS. The office is based at the EAC Secretariat in Arusha, Tanzania. 48 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION The East African Accreditation Board (EAAB) is established under Section 11 of the SQMT Act. It comprises of the chief executives of the national accreditation bodies and national focal points. The Board facilitates cooperation and coordinates accreditation activities to avoid duplication of functions of the national accreditation bodies and also promotes the acceptability of test certification and inspection results from accredited organizations within the Community. 4.2.3.3 The Strategy for Adoption of EAC Standards in South Sudan Adoption of EAC Standards may be somewhat easier than implementation of EAC reforms elsewhere. For this to be achieved, South Sudan does not need to review its laws and only needs to adopt what is already in place. The proposed immediate ways forward in this area for the South Sudan Bureau of Standards are, therefore, as follows:  Study and identify the EAS to be harmonised in South Sudan. Assess the importance of EAC Standards for the economy of South Sudan.  Draft and deliver a presentation to Hon. Minister of Trade and Industry that outlines the issues of EAS Harmonisation.  Support the Office of the Minister in their efforts to secure a slot at the Council of Minister to present the issue of adoption of EAC Standards.  Provide background support to the Minister of Trade and Industry at the Council of Minister for successful delivery of the EAC Standards issue at the Council. Once the EAC Standards are adopted in South Sudan, long-term work on full implementation of EAC Standards needs to commence. This means, the South Sudan Bureau of Standards needs to analyse and internalise the approved standards to be able effectively enforce them in South Sudan. This is a long-term goal that requires effective training, capacity and resources. 4.2.4 Strategy for Implementation of EAC Common Market in South Sudan Procedures for Progressive Implementation of the Common Market in South Sudan Free Movement of Service  South Sudan should draft, negotiate and approve its commitments embedded in the Schedule of Commitments Progressive Liberalization of Services under Annex V of the Common Market Protocol. This Annex outlines the service sectors that should be liberalized under the Common Market Protocol. So for example, South Sudan can agree that it will liberalize first the banking and insurance services. The underlining logic behind such an approach is that these two sectors constitute the backbones of economic activity in South Sudan. It may be desirable for the country to keep these sectors open for efficient regional banks to be able to operate in the country and provide crucial banking and insurance services to the rest of the economy. Free Movement of Persons 49 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Withdrawal visa requirements for EAC citizens entering South Sudan. Cooperate with all EAC Partner States for them to also withdrawal such requirement vis-à-vis South Sudanese passport holders. This may require to amendment the Passport and Immigration Act of South Sudan.  Streamline domestic laws and procedures to ensure free movement of EAC citizens outlined in the CMP is fully captured. This should include the right to stay and exit without restriction, student pass etc. The Free Movement of Persons Annex of the CMP outlines all relevant details on this matter.  Allow EAC Citizens to enter South Sudan on the basis of their domestic IDs.  Work towards implementation of the EAC’s E-Passport. Free Movement of Workers  South Sudan to draft, negotiate and approve its schedule of commitments embedded in the Schedule of Commitments Progressive Liberalization of Workers. This schedule is found in the EAC Common Market (Free Movement of Workers) Regulations, Annex II to the CMP. In this regards Government of South Sudan needs to carry out the following: EAC commitments require for GOSS to choose which category of workers it wishes to liberalize first. The freedom of movement of workers is limited to only these categories of workers contained in the schedule of commitments made by the Partner States. It was previously proposed for South Sudan to liberalize only these professions of which there is not enough in the country. For example, there is an overall lack of well-qualified teachers and doctors in South Sudan. Given the importance of health and education services to sustainable development in the country, there is a critical need to fill relevant skill gaps quickly. Hence, it will be beneficial to South Sudan to allow doctors and teachers for EAC Member states to practice in the country without unduly restrictions.  Streamline and harmonize regulations and procedures related to work permits in line with the CMP provisions. Here the most important part of the Common Market is

Annex II on the Free Movement of Workers.  Join the EAC work program which seeks to establish Mutual Recognition Agreements (MRAs) for professionals such as architects or lawyers. Rights of Residence  Amend the legal framework to guarantee the rights of Residence for spouses, children and dependants of a workers or self‐employed persons from EAC.  Harmonize residence permit procedures, forms and fees.  Implement other changes to the legal framework necessitated by the EAC Common Market (Right of Residence) Regulations, Annex IV. Free movement of Capital 50 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Remove restrictions between the Partner States, on the movement of capital belonging to persons resident in the Community;  Remove any discrimination based on the nationality or on the place of residence of the persons or on the place where the capital is invested;  Remove any existing restrictions and not introduce any new restrictions on the movement of capital and payments connected with such movement and on current payments and transfers  Remove restrictions relating to current payments connected with the movement of goods, persons, services or capital between EAC Partner States. 4.2.5 Institutional / Organizational Implementation Structures The establishment of a Common Market is an extensive, multi-institutional reform that needs to be implemented in South Sudan. It requires budgets, capacities and external support from the EAC and international community. In fact, the list of involved institutions is so large that only a few will be mentioned here. These Institutions include: Ministry of Finance, Education, Justice, Trade and industry, EAC Affairs, Cabinet etc. Given the complexity of implementation of the EAC Common Market in South Sudan this policy recommends:  To set up an inter-Ministerial Task-Force tasked with implementation of the EAC Common Market in South Sudan. The implementation of a Common Market is different in scope and reach than the Customs Union as it entails numerous individual tasks/reforms to be carried out by very different seemingly unconnected Intuitions. What binds these reforms together is often the very aim of the Common Market in terms of establishing freedoms of movement of goods, services, people, labour and capital. So for example, at first glance the removal of visa requirements might not have much in common with adhering to common EAC standards on food hygiene. But both of these reforms fall under the Common Market umbrella. This has implications for the establishment of effective Government structures for the Common Market. The relevant Government committee for Common Market should, therefore, be able to set-up working groups within the task force that would be tasked to carry out specific reforms. 4.3 Monetary Union: Strategy for Implementation 4.3.1 Overview The Monetary Union Protocol (MUP) is an important stage in the process of EAC Regional Integration. The MUP was adopted in accordance with the EAC Treaty and signed on 30th November 2013. The Protocol lays groundwork for a monetary union within 10 years and 51 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION allows the EAC Partner States to progressively converge their currencies into a single currency in the Community. In the run-up to achieving a single currency, the EAC Partner States need to harmonise:  monetary and fiscal policies;  financial, payment and settlement systems;  financial accounting and reporting practices;  policies and standards on statistical information; and  establish an East African Central Bank. The implementation of MUP is different than that of the other two economic Protocols. The EAC is only at the very beginning of implementation of the MUP. Hence, in this area, South Sudan does not need to catch-up to the level of integration attained by other Partner States. The key activity for South Sudan is to join on-going preparatory work related to the establishment of a Monetary Union. The ratification of the MUP in 2015, paved the way for a 10 year roadmap on the implementation of the Protocol. The concept of ‘variable geometry’ – that individual EAC members may not qualify or may choose to opt out of monetary union – is fully entrenched in this Protocol. According to the Protocol, Monetary Union can be created by a minimum of 3 Partner States. The objective of the Union is to promote and maintain monetary and financial stability. The overall aim of the union is facilitating economic integration to attain sustainable growth and development. Under the MUP, Partner States committed to undertake the following: a) Harmonize and coordinate their fiscal policies; b) Formulate and implement a single monetary policy and a single exchange rate policy; c) Develop and integrate their financial, payment and settlement systems; d) Adopt common principles and rules for the regulation and prudential supervision of the financial system; e) Integrate their financial management systems; f) Harmonize their financial accounting and reporting practices; g) Adopt common policies and standards on statistics and h) Adopt a single currency In order to implement the monetary union Partner States need to apply the minimum Macroeconomic Convergence Criteria which are as follows: 1) A ceiling on headline inflation of 8%; 2) A ceiling on fiscal deficit, including grants of 3% of Gross Domestic Product; 3) A ceiling of gross public debt of 50% of Gross Domestic Product in Net Present Value terms; and 4) A reserve cover of 4.5 months of imports. In the final stages before the implementation of a single currency the newly created East African Central Bank will be formulating a single monetary policy. Prior to that Partner 52 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION states will be required to eliminate direct Central Bank funding of the fiscal deficit. Partner States’ Central Banks will give-away the right to implement this policy to the Regional entity. Furthermore, exchange rates will need to be pegged and single exchange rate policy will be implemented by the Regional Bank. The Protocol requires each Partner State to develop a Medium-Term Convergence Programme (MTCP) to facilitate attainment of the agreed criteria, taking into account each country’s economic circumstances. The institutional framework to monitor and enforce convergence includes, at minimum, the establishment of the East African Monetary Institute, as a precursor to the East African Central Bank; the East African Statistics Bureau; and East African Surveillance, Compliance and Enforcement Commission. 4.3.2 Strategic Recommendations  South Sudan needs to join and effectively participate in all EAC Monetary Union work streams. Roadmap for implementation of Monetary Union is outlined.  The Bank of South Sudan and the Ministry of Finance and Development Planning are the most important institutions in this area. However, other Institutions such as the South Sudan Bureau of Statistics are also critical. This Policy/Strategy proposes that GOSS creates a Special Task-Force for the Establishment of Monetary Union. The Task-Force should that comprises of all key institutions in this area. More details regarding these structures can be found in Section 4.4. At the regional EAC level, GOSS should join all committees, structures, intuitions for the establishment of the Monetary Union. GOSS should participate in the establishment of the East African Monetary Institute, East African Statistical Bureau, East African Surveillance, Compliance and Enforcement Commission. Specific Monetary Union Requirements  South Sudan should coordinate and harmonize its fiscal policy as outlined in the MU Protocol. It is expected to harmonize and co-ordinate the fiscal policies to maintain, in particular:  a ceiling on fiscal deficit, including grants of 3% of GDP  a ceiling on gross public debt of 50% of GDP in NPV terms; and  a reserve cover of 4.5 months of imports. o Disclose fiscal policy to other Partner States; o Co-ordinate its fiscal policy with the single monetary policy and exchange rate policy; o Harmonize and coordinate its budget framework; o Coordinate and harmonies its public procurement policies; o Implement its economic policy to achieve and maintain macroeconomic convergence; o Adopt and adhere to the principles of fiscal discipline; o Avoid harmful tax competition; 53 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION o Disclose its aid flows to the East African Central Bank; and o Ensure efficient mobilization and allocation of resources.  GOSS should commission a study which will devise a detailed work plan for coordination and harmonization of monetary and exchange rate policies during the transition to monetary union. The study shall provide a detailed master plan and outline of key activities and structures necessary for South Sudan to attain coordination and harmonization of monetary and exchange rate policies within the timeline outlined in the MU Protocol. The aim of the study is to: (i) Describe the operational frameworks for Common Monetary and Exchange rate policy in South Sudan, and (ii) Propose an optimal set of harmonised instruments and procedures which best suit the adopted monetary and exchange rate policy in South Sudan. o The study shall consider, among others, the following issues: harmonization of liquidity management, framework for common exchange rate management and interventions, reserve requirements, and open market operations etc.  GOSS shall cooperate with Partner States to develop and implement a secure, efficient, and reliable regional payment and settlement system. In particular, GOSS shall: o Adopt and integrate trading and securities depository system; and o Harmonize and integrate the payment and settlement system and other financial sector systems/infrastructure.  South Sudan shall participate in EAC activities aimed to harmonise policies, standards and laws relating to production analysis and dissemination of statistical information in line with the Schedule outlined in the MUP.  With regards to integration of financial systems and adoption of common principles and rules for the regulation and supervision of financial system, the Government should undertake the following: o Commission a study to identify institutional, policy and regulatory gaps that need to be addressed to develop, harmonize, and integrate the financial sector with that of the EAC; o Develop a detailed implementation plan for addressing the identified gaps, o Raise financial resources (both internal and externally) to implement the plan; o Commission a study to identify the gaps that need to be addressed to develop, harmonize, and integrate the capital markets sector with that of the EAC; o Commission a study to identify the gaps that need to be addressed to develop, harmonize, and integrate the insurance sector with that of the EAC; and 54 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION o Commission a study to identify the gaps that need to be addressed to develop, harmonize, and integrate the pension sector with that of the EAC;  South Sudan should prepare a timetable for progressive phasing out of overdraft facilities and will co-operate with Partner States to establish a liquidity management mechanism within the MUP framework. This is to be handled concurrently with other provisions such as adoption of macroeconomic standards such as debt to GDP ratio and limitations on deficit spending.  South Sudan should cooperate with Partner States in developing a framework for monitoring compliance with macroeconomic convergence criteria and design a medium-term convergence programme in line with the implementation timeframe outlined in the Monetary Union Protocol.  Once it is established, South Sudan should participate and make its contribution for the establishment of the East African Community Stabilization Facility.  South Sudan should participate in the development and implementation of a Common Exchange Rate Mechanism. This should include: o Design a Common Exchange Rate Policy; o Implement a convergence phase during which the Partner State shall implement managed float exchange rate regimes; o Implement a phase of conversion of the exchange rates during which the council shall irrevocably fix the exchange rates among the Partner States. o Convert Partner States’ currencies to a single currency on a date to be announced that shall not be more than six months from the date of irrevocable fixing of the exchange rates.  Finally, South Sudan shall participate in the determination of Conversion Rates and design of a single currency. The conversion rates at which the single currency will replace the currencies of the Partner States. 4.4 Institutional / Organizational arrangements for EAC Reforms Agenda EAC is extensive and hence they require the creation of tailored, effective government structures to implement them. The Government has already begun this important task with the creation of the Ministry of East African Community Affairs which is embedded in the Revitalized Agreement on Resolution of Conflict in South Sudan (R-ARCSS). However, given the whole-of-the-government and cross-cutting nature of the Reforms it is necessary to form relevant additional structures that will support the line Ministries in implementation carry out the duties outlined in this Strategy / Policy. The role of these organizational structures outlined here is to lead the reforms implementation and also to provide a venue for effective communication and cooperation between Ministries. Chart 8: provides an outline of the proposed structures. It shows that following:  H.E. the President is to provide the highest level of oversight regarding the EAC Regional Integration Reform Agenda. H. E. the President shall also: 1) Provide 55 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION impetus and direction to EAC Regional Integration Reforms and 2) Sign EAC legislative changes and Reforms.  The Regional Integration Committee at the Transitional National Legislative Assembly coordinates and leads the key legislative changes necessitated by the EAC Membership. The Legislative Assembly deliberates and passes key legislation and amendment legislation related to the EAC Agenda.  The South Sudan Council of Ministers as the Government’s executive branch is to approve the various Reform programs and Commitments of the EAC and to receive and analyse periodic update Reports.  South Sudan Ministry of East African Community Affairs is This Policy proposed the creation of the following structures:  High-Level Committee for EAC Implementation – is envisaged to be the top body leading the implementation of EAC Agenda Reforms. The Committee shall comprise of Ministers (or Deputy Ministers) of key Economic and Governance Ministries related to EAC Integration and Heads of key Institutions such as the National Revenue Authority and South Sudan Bureau of Standards. The Committee shall oversee progress with EAC Implementation and commission update Report to be presented to Cabinet. The Committee shall guide, direct and oversee the work of three special task-forces outlined below. The Chair of the Committee shall be the Minister of EAC Affairs.  Three (3) Special Task forces: o (1) Special Task-Force for Customs Union Implementation; o (2) Special Task-Force for Common Market Implementation; o (3) Special Task-Force for Monetary Union Implementation The Task-Forces shall comprise of Undersecretaries and High-Level Civil Servants as well as representatives of the organized forces. The main aim of the task forces would be to implement directives from the High-Level Committee and carry out the technical, administrative and logistical tasks entailed by the directives from High- Level Committee. In essence, the special task forces shall be the key implementers of the Common Market, Custom Union and Monetary Union. 56 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Chart 8: Institutional Structures for the EAC Reform Agenda H.E. the President, Salva Kiir Mayardit Transitional National 1. To provide impetus and direction to EAC Legislative Assembly To deliberate and pass Regional Integration Reforms. the EAC legislative 2. To sign EAC legislative changes and Reforms reform agenda and into law. Commitments Council of Ministers, RSS & Governance Regional Sectoral Cluser Integration 1. Approve various Reform programs and Committee Commitments of the EAC To lead EAC legislative 2. Receive and analyse periodic update Reports. efforts at the T-NLA High Level Committee for EAC Implementation– to lead the reforms implementation. Comprised of Ministers, Heads of Commissions and main Departments responsible for key EAC Reforms (to be created by either a Council Resolution or Presidential Decree). 1. To lead the implementation key EAC reforms; 2. To periodically report to Council of Ministers with Ministry of EAC Affairs – lead coordinating body for EAC Reforms and Programmes. Provides logistical administrative and technical support to the EAC Regional Integration. To coordinate all cross-cutting issues such as Customs Union and Common Market Implementation Special Task-Force for Special Task-Force for Special Task-Force for Customs Union Common Market (National Monetary Union Implementation Implementation Committee) Comprises of Undersecretaries Comprises of Undersecretaries Comprises of Undersecretaries and and High-Level Civil Servants and High-Level Civil Servants High-Level Civil Servants involved in involved in CM. To prepare involved in CU. To prepare reform CM. To prepare reform processes and reform processes and legal processes and legal amendments. legal amendments. amendments. Coordinating Body: Ministry of EAC Affairs National Revenue Authority South Sudan Customs Services Coordinating Body: Ministry Coordinating Body: Ministry of South Sudan Immigration of EAC Affairs EAC Affairs Ministry of Finance and Economic Bank of South Sudan National Revenue Authority Planning National Revenue Authority Ministry of Finance and Economic Ministry of Justice, Ministry of Interior Ministry of Finance and Planning South Sudan Bureau of Standards Economic Planning Ministry of Justice Trade and Industries Ministry of Justice, Ministry of Ministry of Interior Higher Education Science and Interior South Sudan Bureau of Standards Technology South Sudan Bureau of Ministry of Trade and Industry General Education and Instructions Standards Labour, Public Service and Human Resource Dev. Trade and Industries Transport, Roads and Bridges, Energy & Dam Foreign Affairs, Defense and Veteran Affairs, Parliamentary Affairs, Federal Affairs, Petroleum, Mining, Wildlife Conservation and Tourism, Environment and Forestry, Land, Housing and Urban Development, Water Resources and Irrigation, Gender, Child and Social Welfare, Culture, Youth and Sports, Humanitarian Affairs and Disaster Management. 57 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 4.5 Generic Ministry-by-Ministry Implementation Strategy This section provides a generic step-by-step proposal as to the steps that each Government Ministry may wish to undertake to jump-start or enhance its cooperation with the EAC Structures. These steps are as follows: 1. Ministry/relevant institutions to co-ordinate with the Ministry of EAC Affairs its engagement with the EAC Secretariat and EAC Partner States. 2. The Ministry of EAC Affairs can provide the following: a. Allocate a contact point from the Ministry to support and co-ordinate the cooperation efforts with the EAC. b. Provide contact information for the relevant Departments at the EAC Secretariat that are responsible this specific area of responsibility. c. Provide additional relevant documentation regarding the EAC work area including protocols and policies that will support the Ministry / Relevant in its work. Ministry of EAC Affairs can also provide additional copies this Policy / Strategy that aims to guide all Ministries in their EAC commitments implementation. 3. The Ministry / Relevant Institutions studies this Strategy / Policy, the Roadmap for EAC Implementation and any other relevant materials and assesses the following: a. The overall extend of co-operation of the Ministry required by the EAC Protocols, Projects and Programmes; and b. Additional resources, if any, that are required to implement key provisions of the EAC agenda. 4. Relevant Ministry / Institution allocates a department or at minimum civil servant(s) to work on implementation of key EAC requirements. The department and/or civil servant(s) become focal points and coordinators for all EAC related enquiries and work. 5. With co-operation from the Ministry of EAC Affairs the Ministry/ relevant Institution establishes working relations with EAC Secretariat to jump-start the work programme. This includes: a. Obtaining from the EAC Secretariat the most recent information of the EAC work in the area. This includes, among other, an update on progress in the development of various work-streams as well as provision of all latest documents; b. Obtaining information regarding EAC Structures that are undertaking relevant EAC work; and c. Seek information regarding all relevant meetings that GOSS delegates need to attend. 6. Once all relevant information is sourced and policies, strategies and implementation roadmaps are studied the Ministry / Institutions makes an overall assessment of the resources required to implement EAC Provisions and devises a Plan as to how to seek these resources and implement this Strategy. Such Plan may be a few pages 58 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION document as to how the Ministry shall internalize the relevant EAC project and programs. 7. Relevant Ministry / Institution budgets all key activities related to EAC in the next budgetary cycle to be able to implement them. 8. Relevant Ministry / Institution implements the EAC plan of action. 4.6 Summary of Sectoral Council or Ministry-by-Ministry work areas for East African Communality This Section outlines EAC extensive regional cooperation agenda in areas such as Education, Health, Defence and Security, Infrastructure, Technology, Culture and Sport. Information contained here is addressed and most valuable to the Ministries responsible for these dockets. The Section is structured to in accordance to the key EAC Sectoral Councils of Ministers. These Sectoral Councils include:  EAC Sectoral Council on Health;  EAC Sectoral Council on Energy;  EAC Sectoral Council on Defence and Inter-State Security and Foreign Policy Cooperation;  EAC Sectoral Council on Education, Science, Technology, Culture and Sports;  EAC Sectoral Council Trade, Industry, Finance and Investment;  EAC Sectoral Council on Infrastructure. As projects and programmes of the Sectoral Ministerial Council on Trade, Industry, Finance and Investment have already been analysed in depth in Sections 4.1, 4.2 and 4.3 the rest of this Section outlines in detail the various policies and programmes of the remainder of EAC Sectoral Councils. 4.6.1 EAC Projects and Programs in Education, Science, Technology, Culture and Sports (Sectoral Council) One of the EAC’s Sectoral Council of Ministers is responsive for a key-cross cutting agenda which includes Education, Science, Technology, Culture and Sports. This section outlines in detail the various projects and programmes that this EAC Sectoral Council was undertaking over the past years. 4.6.1.1 Science and Technology Partner States recognized the fundamental importance of science and technology in economic development and thus undertook to promote co-operation in the development of science and technology within the Community through inter alia: • The joint establishment and support of scientific and technological research and of institutions in the various disciplines of science and technology; • The creation of a conducive environment for the promotion of science and technology within the Community; 59 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION • The encouragement of the use and development of indigenous science and technologies; and • The mobilization of technical and financial support from local and foreign sources and from international organizations or agencies for the development of science and technology in the Community; This cooperation is primarily carried out through the East African Science and Technology Commission (EASTECO) which is one of the EAC Institutions. Currently EASTCO carries out numerous projects which include: • EASTCO provides grants for scientific cooperation in the region under the banner of ‘Scientific cooperation grants initiative for Eastern Africa’. • The Institutions also operates the East African Journal on Science Technology and Innovation; • E-health and telemedicine conferences are taking place; • Regional Network of R&D Institutions was established. It has recently drafted a final report on the Assessment of Knowledge and Technology Transfer Institutions in the EAC; • EAC Regional Framework and Guidelines on Sustainable Renewable Energy Technology Deployment were developed; • EAC Regional Annual Youth Innovation Forum and Youth Innovation Presidential Awards are taking place; • EAC Forum for Science, Technology and Innovation to facilitate the STI policy harmonization has also been carried out. This is under the umbrella of a project funded by the African Development Bank; and • Concept paper for developing the Regional Bio-economy strategy and a concept paper on the regional EAC research collaboration through the Science Granting Council Initiatives have been drafted. 4.6.1.2 Education and Training Some of the more recent activities in the area are as follows: Implementation of Mutual Recognition Agreements (MRAs) • Development of New Mutual Recognition Agreements as per the CMP: The EAC Council of Ministers has already approved four MRAs that had been negotiated and signed. These MRAs include MRAs for Accountants, Engineers, Architects and Veterinarians. • Pharmacists in the EAC also expressed interest in signing an MRA. Sensitization meetings for the MRA for Pharmacists have been completed and negotiation meetings on the MRA have commenced. • Annex VII of Common Market Protocol (CMP) on Mutual Recognition of Academic and Professional Qualifications has been developed but has not yet been approved by the EAC structures. 60 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION • EAC carried out a study on implementation and challenges in MRA which is to guide future actions in the area. The EAC has also undertaken work towards an alignment of Examination Rules and Regulations within the Harmonized EAC Examinations Guidelines and Frameworks. In particular, analyses were made to harmonize national examinations guidelines with the approved harmonized EAC examinations, rules and regulations. In addition, Explore mechanisms of synchronising examinations structures, duration, calendar, grading and certification systems, and Numerous activities in the area of education are undertaken by the Inter-University Council of East Africa which is headquartered in Kampala, Uganda. These activities include: KFW Scholarships agreement between Government of the Federal Republic of Germany and the EAC: • Government of the Federal Republic of Germany, the EAC and Inter-University Council for East Africa agreed for a non-repayable grant worth EUR 5,000,000. • The Inter-University Council for East Africa is the Project Executing Agency. • The project offers financial support for academically skilled but disadvantaged master students from the EAC Partner States with the main focus on Mathematics, Informatics, Science, Technology (MINT) and Business Science. East African Qualifications Framework for Higher Education (EAQFHE) • The EAQFHE is an important tool for harmonization of education and training systems and the qualifications attained. It is one of the policy components aimed to transform East Africa into a Common Higher Education Area. It will also be an appropriate guide to facilitate mutual recognition of qualifications among the Partner States. IUCEA initiated the process to develop the EAQFHE, in collaboration with the national commissions and councils for higher education and higher education institutions in the EAC Partner States, as well as the East African Business Council (EABC). ICT East African Centre of Excellence – Funded by the German Government • The EAC is creating a Regional Centre of Excellence in the field of Information and Communication Technology (ICT) - Nelson Mandela African Institute of Science and Technology (NM-AIST). The centre will offer 70 full scholarships to the students from the EAC who will be admitted for Masters of ICT in Embedded and Mobile Systems at NM-IAST. Eastern and Southern Africa Higher Education Centers of Excellence • Scholarships to strengthen regional student mobility. IUCEA provides 60 MSc fellowships to female graduate students in order to encourage the participation of young African female students at postgraduate level, as well as to promote regional female student mobility. 61 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 4.6.2 EAC Projects related to Ministry of Interior / Sectoral Council on Interstate Security Overview In terms of specific objectives of the Community in areas of peace and security, the Treaty states that the Partner States shall cooperate to: • strengthen the security of the Community and its Partner States in all ways; • develop and consolidate democracy and the rule of law and respect for human rights and fundamental freedoms; • preserve peace and strengthen international security among the Partner States and within the Community; • promote co-operation at international fora; • establish systematic co-operation between the Partner States on any matter of security in handling of cross border crime, provision of mutual assistance in criminal matters including the arrest and repatriation of fugitive offenders and the exchange of information on national mechanisms for combating criminal activities. Over the years EAC security structures have also developed a regional legal framework that codifies and spells out in much more detail the policies regarding co-operation on security matters. These legal texts include: • Peace and Security Protocol; • Protocol on Cooperation in Defence; and • Protocol on Combating Illicit Drug Trafficking in the East African region. To this end, the Partner States have undertaken to adopt numerous measures for maintaining and promoting security. These measures include: • Enhance the exchange of criminal intelligence and other security information between the Partner States’ central criminal intelligence information centres; • Enhance joint operations such as the hot pursuit of criminals and joint patrols to promote border security; • Establish common communication facilities for border security; • Adopt the United Nations model law on mutual assistance on criminal matters; • Conclude a Protocol on Combating Illicit Drug Trafficking; • Enhance the exchange of visits by security authorities; • Exchange training programmes for security personnel; and • Establish common mechanisms for the management of refugees; Furthermore, Partner States undertake to co-operate in reviewing the region’s security particularly on the threat of terrorism and formulate security measures to combat terrorism (objectives related to security are extracts from the Treaty of Establishment of the EAC Articles 5, 123 and 124). Details of Current Projects in the area 62 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION The Sectoral EAC Council of Ministers on Inter-State Security has also developed an extensive work program. This includes, among others: • Development of common forensic expertise and standards. As part of this work, a Regional Forensic Referral Centre was build and Regional Police Centres of Excellence are in various stages of development. • Cooperation and setting up programmes in the area of stolen vehicles. • In-depth cooperation on the trafficking of persons and narcotics. • Awareness creation and work in the area of human trafficking in line with the Ouagadougou Plan of Action. • Co-operation in the area of correctional services and prisons. • Harmonization of Training Curriculum for the security sub-sector. • Creation of an annual Peace and Security Report. • EAC/EU Counter-Terrorism Project. • Chemical Safety and Security pre-preparedness project. • Development of confidential communication channels. 4.6.3 EAC Projects related to Ministry of Defence / Sectoral Council on Defence Key areas for work in this area are: • Establishment of an enabling legal and institutional framework to enhance coordination and implementation of institutions peace and security interventions; • Development and implementation of a Conflict Prevention, Management and Resolution(CPMR) Framework; • Coordination and strengthening of disaster management centres; • Implementation of Small Arms Light Weapons control programs; • Harmonization of IDP and Refugee Management Practices; • Implementation of joint measures to combat cattle rustling. To operationalize these programmes the EAC has passed two protocols:  Peace and Security Protocol; and  Protocol on Cooperation in Defence. Key Work Programmes in the Area of Defence • The EAC has developed Conflict Prevention, Management and Resolution (CPMR) Framework; • The Sectoral Council on Defence adopted the East African Community Early Warning Mechanism (EACWARN) framework and the corresponding indicators; • The EAC Council of Ministers endorsed the establishment of a Summit sub- committee on emerging peace and security threats and operationalization of the Directorate of peace and security at the EAC Secretariat in Arusha, Tanzania; • Periodic Meetings of Chiefs of Military Intelligence on the security situation in East Africa. 63 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION • Establishment of a secure communication channel for Military Intelligence and Security Sectors • Counter-Terrorism Strategy has been developed. • 11th Military Games and Cultural Event took place in September, 2017. In the course of the games, sports competitions between States (both man and women) took place. This included: football, netball, basketball, volleyball and cross country. • EAC Military Command Exercises: Annual exercises codenamed ‘Ushirikiano Imara’ involves more than 300 military, police and civilian personnel. Practice exercises involved: peace support operations, counter-terrorism, counter-piracy and disaster management to ensure a peaceful region. The military drills helped the Combined Joint Task Force (CJTF) to develop their capacity to respond to “complex security challenges.” • Mutual Defence Pact: In 2015, the EAC created a Defense Working Group on the drafting of the Mutual Defense Act. The group recently presented a final draft of the Mutual Defence Pact. The current version of the Pact covers (1) mutual defence and its parameters; (2) defence cooperation and coordination; (3) conflict resolution; (4) military preparedness and other technical matters. The Mutual Defence Act has now been concluded and is under consultations in the Partner States. The key provision of the Mutual Defence Pact essentially states that an attack on one Partner State is an attack on all. This mirrors the long-standing basis of operation of NATO. This is a very powerful provision that may in the future prevent a military conflict in the EAC and beyond. Hence, South Sudan should be in every way part and parcel of this work. History of NATO clearly shows that, indeed, joint defence agreements, like the one currently in development by the EAC, deter conflicts. • Annual meetings of EAC commandant and staff collages/higher military training institutions. • Working Group on Military Health Services works on: • Joint disease surveillance and early warning system to cater for emerging endemic threats to regional security. • Standing Operating Procedures (SOP) on the management of health conditions that have a negative impact on military activities. • Basic mental health awareness training package. • EAC Forum of Counter-Terrorism Stakeholders. The purpose of the Forum is to develop modalities to ensure EAC counter-terrorism stakeholders operate jointly in facing security challenges. Recently, the Sectoral Council on Cooperation in Defence approved the EAC Counter-Terrorism Strategy Action Plan to enable the stakeholders effectively implement the Strategy. It is expected that the Action Plan will deny terrorists freedom of action through the application of four pillars: prevent, protect, 64 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION disrupt, and respond. Effective implementation of the EAC Counter-Terrorism Strategy requires concerted efforts of all relevant stakeholders. 4.6.4 EAC Projects and Programmes in Infrastructure and Energy 4.6.4.1 Ministerial Sectoral Council on Energy The objective of the Sectoral Council on Energy meetings is to review the progress made in the sector in implementing Council decisions and to consider other issues of regional importance in the areas of renewable energy, energy conservation, fossil fuels and power sub-sectors. In terms of renewable energy and energy efficiency the following project has recently been undertaken:  Regional strategy on scaling-up access to modern energy services (2016-2020) has been developed.  East African Centre for Renewable Energy and Energy Efficiency (EACREEE) is in process of being established at Makarere University.  Technical Capacity Building on Small Hydropower in East Africa: Training-of-trainers regarding small hydropower stations has been carried out. The training was funded by the Italian Government through the African Union Commission (AUC)  Exemption of levying tariffs on Solar Panels and spare parts has been implemented. In the fossil-fuel sub-sector the following activities are on-going: • 8th EAC Petroleum Conference and Exhibition. • Priority Oil Products Pipeline Projects. • EAC secured funding from AfDB for feasibility studies for two pipelines in the EAC (Kigali-Bujambura and Mbarara-Mwanza-Dar Es Salaam. • Analytical report of petroleum policies, legal and regulatory frameworks in Kenya, Uganda, South Sudan and Tanzania has been carried out. In the Power Sub-Sector the following projects are undertaken: • Power Supply Situation and Status of Implementation of the East African Power Master Plan (EAPMP). • Kikagati/Murongo and Nsongezi Hydropower Projects (Tanzania/Uganda) • Memorandum of understanding for cooperation with the EA Power Pool (EAPP). • Energy Efficiency Strategy. 4.6.4.2 Ministerial Sectoral Council on Transport The EAC Road sub-sector has registered commendable milestones from 2000 to 2018. The key achievements include: • The establishment of road agencies and road funds; • The construction of Arusha – Namanga – Athi River road; 65 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION • The preparation of an EAC transport strategy and road sector development programme; • The development of a framework for harmonization of policies and regulations in the road sector; • The finalization of feasibility studies and detailed designs for several road networks aimed to integrate the region’s transport network and the prioritization of key regional roads within national programmes. • There was also the completion of construction of eleven (11) One-Stop Border Posts (OSBPs) operating on a 24-hour basis, with the construction of several others on- going, to fast-track cross border movement of goods and services. In terms of a legal framework the following acts/regulations/manuals have been concluded: • The EAC Vehicle Load Control Act, 2013; • The EAC Vehicle Load Control Regulations, 2016; • Harmonized regional training curricula for long-distance commercial drivers; • EAC One-Stop Border Posts Act, 2013; • The EAC One-Stop Border Posts Regulations, 2016; and • EAC OSBPs Operations Manual. Other notable achievements in this sub-sector include: • EAC Transport Strategy and Road Sector Development Programme (2012 – 2022). • Three (3) retreats of the EAC Heads of State on infrastructure development and financing were held in 2012, 2014 and 2018. • EAC Transport Facilitation Strategy. 4.6.4.3 Sectoral Ministerial Council on Information, Communication and Technology (ICT) Information technology and communication cover telecommunication, postal services broadcasting, internet services and information technology. EAC recognized the importance of ICT in meeting the challenges posed by globalization and facilitating the regional integration agenda. Key achievements in this area are:  The development of a regional framework for harmonization of ICT policies and regulations;  The deployment of submarine cable networks to improve international connectivity;  The preparation of a detailed feasibility study for the establishment of cross-border broadband networks;  Developing a regional legal framework for cyber laws;  Preparation of a roadmap for the smooth transition from analogue to digital broadcasting; and development of a strategy to reform the postal sub-sector (EAC, 2011).  EAC Protocol for ICT Networks; 66 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Adoption of the EAC Roaming Framework; implementation of cross-border broadband. Interconnections were undertaken at the following common borders: Malaba (Uganda/Kenya); Namanga (Kenya/Tanzania); Isebania/Sirare (Kenya/Tanzania); Mutukula (Tanzania/Uganda); Rusumo (Tanzania/Rwanda); Kobero/Kabanga (Burundi/Tanzania); Gashenyi/Nemba (Rwanda/Burundi); and Katuna/Gatuna (Uganda/Rwanda). 4.6.4.4 Civil Aviation The EAC CASSOA is a specialised technical institution of the East African Community (EAC). CASSOA is responsible for ensuring the development of safe and secure civil aviation system in the region. The Agency is mandated to work with the Partner States Civil Aviation Authorities which retain the responsibilities of regulating the civil aviation activities in their territories covering licensing, approving, certificating and ensuring compliance and enforcing violations. The institution in its current structure is mainly involved in three major functions: - Harmonising operating Regulations to ensure that they meet the international standards and recommended practices; - Developing standardised procedures for licensing, approving, certificating and supervising civil aviation activities; and - Providing guidance and assistance to States including putting in place measures for resource sharing particularly for the technical personnel CASSOA was established as an institution of the EAC in 2007 to provide a common framework and mechanism for the Partner States to fulfil their international safety and security oversight obligations. Some of the key projects and programmes of CASSOA are:  The liberalisation of Civil Aviation activities for regional carriers. The EAC Partner States are implementing the Yamoussoukro Decision on the liberalisation of air transport in the region and established an Air Transport sub-Committee, which is mandated with its implementation.  Establishment and Operationalisation of the EAC Unified Flight Information Region (UFIR). The objective of the project is to create a single block of upper airspace over the EAC Partner States, operating from a single area control centre.  Implementation of the Search and Rescue Agreement. CASSOA works towards operationalising the East African Search and Rescue Agreement and developing a framework for its implementation.  Implementation of the Recommendations of the Global Navigation Satellite System (GNSS) Pilot Study The goal of the project is to develop GNSS procedures for identified three airports in each Partner State in order to bring the existing airports in the region in line with International Civil Aviation Organization Standards and Recommended Practices. The project is being coordinated by the EAC Secretariat and implemented by the Partner States through their national budgets. 67 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Regional Airport Projects. The project aims at primarily improving the airport facilities and services to enhance safety and security standards but also to promote commercial activities which are important for the sustainability of the facility in the long term.  East African Aviation Training Organizations Rehabilitation Project. The goal of this project for the rehabilitation of the aviation schools in the region is to ensure a sustainable provision of timely, relevant and targeted training for the Air Transport Sector in East Africa to support enhanced aviation safety and security in the region so as to promote trade, the tourism industry and the regional economy as a whole.  Aviation Examination System. The EAC civil aviation examination system is an initiative launched in May 2014 and which aims to establish a common computerised personnel licensing examination system for aviation professionals in the region including pilots, flight engineers, aircraft maintenance engineers, air traffic controllers and flight operations officers.  Centre for Aviation Medicine (CAM). The Regional Centre for Aviation Medicine was borne of the need for civil aviation authorities of EAC Partner States to access an aviation medicine facility that complies with International Civil Aviation Organisation (ICAO) Medical Standards and Recommended Practices (SARPs). The core function of the Centre is aeromedical safety oversight. In July 2020 construction of a building that will host the Centre commenced. 4.6.5 EAC Projects and Programmes in Health 4.6.5.1 Introduction Cooperation in the area of Health is one of the key co-operation areas for the EAC and one of its larger workstreams. This cooperation area is wide-ranging and can provide critical support to attain Millennium Development Goals (MDGs) related to health and well-being. Strengthening health systems and undertaking joint action towards the prevention and control of communicable and non-communicable diseases is a critical role of regional integration processes. The EAC works to control pandemics and epidemics of communicable and non-communicable diseases that might endanger the health and welfare of the residents of the Community. This workstream became much more important given the emergence of worldwide COVID-19 pandemic. The Community also co-operates in facilitating mass immunisation and other public health community campaigns. The frequent population movements across the borders pose a risk of spreading diseases. Growth in regional trade and travel in East Africa has increased the likelihood that disease epidemics spreading regionally. Recognizing the importance of health the Treaty for Establishment of the EAC in its Article 118 outlined following areas of co-operation: 68 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION a) take joint action towards the prevention and control of communicable and non- communicable; b) diseases and to control pandemics and epidemics and to cooperate in facilitating mass immunization and other public health community campaigns; c) promote the management of health delivery systems; d) develop a common drug policy which would include establishing quality control capacities and good procurement practices; e) harmonise drug registration procedures to achieve good control of pharmaceutical standards; f) harmonise national health policies and regulations and promote the exchange of information on health issues; g) co-operate in the development of specialised health training, health research, reproductive health, the pharmaceutical products and preventive medicine; h) promote the development of good nutritional standards and the popularisation of indigenous foods; and i) develop a common approach through the education of the general public and their law enforcement agencies for the control and eradication of the trafficking and consumption of illicit or banned drugs. 4.6.5.2 Overview of EAC Work in the area of Health To develop the numerous areas of co-operation in Health, the EAC has created several organizational structures. These include:  Sectoral Council of Minister responsible for Health;  Condition Committee of Permanent Secretaries and Undersecretaries responsible for Health;  6 Technical Working Groups: o Technical Working Group (TWG) on Health Systems and Policy; o TWG on Communicable and Non-Communicable Diseases Prevention and Control; o TWG on Medicines and Food Safety; o TWG on HIV and AIDS & Sexually Transmitted Infections (STIs); o TWG (TWG) on Reproductive, Child, Adolescent Health and Nutrition; o Technical Working Group (TWG) on the Regulation of Health Professions and Health Services;  East African Health Research Commission was also established and a Technical Working group is operational to facilitate the work of the Commission. Cooperation on Health in the EAC for years 2019-2028 Some of the more important EAC work in the area of Health stems from a Joint EAC Heads of State Retreat on Health and Infrastructure which took place in 2018. During this meeting, EAC Heads of State approved the following nine EAC regional health sector investment priorities: 69 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Priority 1: Expansion of access to specialized health care and cross border health services:  Expand the capacity of the following East African Centres of Excellence for Higher Medical Education, Health Services and Research. Priority 2: Strengthening the network of medical reference laboratories and the regional rapid response mechanisms to protect the region from health security threats including pandemics, bioterrorism and common agents:  Establish seven EAC Regional Medical Diagnostic Centres of Excellence.  Establish an EAC Regional One-Health Rapid Response Mechanism to enhance the region’s capacity to rapidly mobilize experts and provide necessary supplies such as Personal Protective Equipment to combat major epidemics and pandemics.  Establish regional sentinel disease surveillance sites in epidemic-prone areas and provide appropriate facilities. Priority 3: Expansion of capacity to produce a skilled and professional workforce for health in the region based on harmonized regional training and practice standards and guidelines:  Modernize University Teaching Hospitals and National Referral Hospitals in the region in terms of infrastructure, technology (including ICT for learning) and personnel in the region.  Expand the capacity of five (5) mid-level health workforce training institutions in terms of infrastructure, technology and personnel support in each Partner State.  Strengthen regulation of health professionals by strengthening the Partner States’ National Health Professionals Regulatory Authorities Priority 4: Increase of access to safe, efficacious and affordable medicines, vaccines, and other health technologies focusing on prevalent diseases such as malaria, TB, HIV/AIDS, COVID-19 and other high burden conditions:  Partner States to provide incentives for local manufacturing of medicines, vaccines, and other health technologies that meet international standards of quality, safety and efficacy;  Assure quality of medicines, vaccines, and other health technologies through strengthening the EAC Partner States’ National Medicines Regulatory Authorities;  Establish an EAC Regional Pooled Bulk Procurement mechanism to facilitate pooled bulk procurement of medicines, vaccines, and other health technologies;  Strengthen the network of national quality control laboratories and the EAC Regional Chemical Reference and medicines and health technologies Quality Assurance laboratory to assure the quality of medical products and devices including at cross border points; Priority 5: Upgrading of health infrastructure and equipment in priority national and sub- national health facilities/hospitals:  Build or rehabilitate five (5) regional priority secondary or tertiary hospitals per Partner State and equip them with modern and sustainably maintained equipment 70 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Establish an EAC Regional e-Health Infrastructure to facilitate service delivery through Tele-medicine, capacity building and knowledge management regional priority secondary and or tertiary hospitals from each Partner State.  Implement an EAC regional institutional healthcare green power/energy, sanitation and water supply project. Priority 6: Establishment of strong primary and community health services as a basis for health promotion and diseases prevention and control:  Establishment of a mixed community health worker and skilled health workforce based community health system supported by robust community health information systems that are linked to the formal health facility-based health information systems by all Partner States.  Promote regional integrated high impact interventions for the prevention, control and elimination of malaria, TB and HIV/AIDS, non-communicable diseases and other high burden conditions. Priority 7: Expansion of health insurance coverage and social health protection:  Each Partner State to establish and or expand their National Health Insurance and social protection schemes to support the Universal Health Coverage including financial risk protection, as outlined in the Sustainable Development Goals. Priority 8: Improvement of quality of healthcare, health sector efficiency and health statistics:  Conduct one national health sector efficiency study every two (2) years.  Scale up the accountability of results and resources through innovative approaches such as Maternal and perinatal death surveillance and response. Priority 9: Strengthening of health research and development:  Establish an EAC Regional Health Research and Development Facilitation Mechanism  Establish an EAC Regional Observatory on Health Research and Development. The EAC has drafted detailed Health Sector Investment Priorities which also include Implementation Plan for these priorities. More details on the The East African Community has allocated US Dollars 4.5 billion to the implementation of these priorities. While the figure is aspirational and subject to securing funding from sources including international donors, the implementation of EAC priorities can be one of the key avenues for South Sudan to strengthen is the health sector. Hence the Ministry of Health needs to cooperate closely the EAC structures to ensure co-operation in this area strengthens service delivery in the country. The current health sector priorities are highly ambitious and entail the building of hospital, laboratories and the use of ICT in Health. So, even if only some portion of the prioritized project will come to fruition, they will nevertheless have the capacity to strengthen health service delivery in the region. Furthermore, the EAC Council of Minister on Health has urged Member States to officially nominate four (4) experts from Ministry of Health to the EAC regional committee of Experts 71 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION on the implementation of Regional Health Sector Priorities. It is critical for South Sudan to nominate and facilitate the best Expert at its disposable to this Committee. An overview of the work of 6 EAC TWG is outlined in Chart 9. Given the large scope and numerous projects of the TWG more detailed overview, their work is provided to the Ministry of Health directly. 72 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Chart 9: Overview of EAC Structures in the area of Health Summit of EAC Heads of State / Retreat on Health Sectoral Council of Minister on Health Coordination Committee on Health Technical Working Communicable and (TWG) on HIV and TWG on Reproductive, TWG the Regulation of Group (TWG) on Non-Communicable TWG on Medicines AIDS & Sexually East African Health Child, Adolescent Health Professions Health Systems and Diseases Prevention and Food Safety Transmitted Infections Research Commission Health and Nutritionb and Health Services Policy and Control (STIs) 1. Dental and Medical 1. Operationalization 1. EAC Regional 1. National Medicine 1. Integrated Health Practicioners Board of the EAC Health Network of Public Regulatory Authorities Programme EIHP Council - a) Drafted a Sector Investment Health Reference Harmonization and (SIDA). Mutual Recognition Priorities Laboratories for Strenghtening 1. Study on Agreement for free Communicable (Medicines Regulatory 2. EAC Regional policy 2. East African reproductive health 2. Pharmacy Board Diseases. Harmonization) on Harm reduction Regional Centres of supply chain solutions services for People 3. Nurses and Excellence for skills 2. EAC/GIZ: Support to 2. EAC Joint and pooled bulk East Africa Health Who Use Drugs. Midwives Council and tertiary education Pandemic Assessment procurement of Research Journal in higher medical Preparedness Project Procedures 3. Draft EAC Regional essential medicines. 4. Medical education program. (One Health) Knowledge Laboratories Boards 3. Integrated Inform. 2. EAC Partner states Management Strategy Council. 3. Social Health 3. Standard operating Management System Immunization for health. Protection and procedures (SOPs) for for Joint Regulatory Managers Report 5. Radiography / Universal Health implementing the Activities 4. Convening of the Medical Imaging 3. Coverage Benefits regional contingency EAC knowledge Share Boards Council. 4. Quality Fair. Portability Bill, 2018 plan Management System 6. 4. WHO MOU by NMRAs 73 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 4.6.5.3 EAC Regional response to COVID-19 Pandemic In light of the advent of global COVID-19 pandemic, regional and international institutions, such as the EAC have a critical role to play. The role is to coordinate policy responses to save lives and curtail the economic fallouts associated with the pandemic. The new and complex set of policy responses, many of which are regional, need to be urgently undertaken. In particular, a whole new set of health, trade and economic policies needs to be implemented. These policies include: setting up COVID-19 tracking, tracing and testing, treatment capacities, but also designing procedures to safeguard cross-border trade and minimize disruptions to economic activities. These policies need to be implemented within the stringent rules of fighting the pandemic related to protective measures, hygiene and social distancing. To date, the EAC has already undertaken numerous policy initiatives as the Community seeks to rise to the challenge posed by the pandemic. Coordination of the regional response started reasonably early as the first extraordinary meeting of EAC Ministers of Health and EAC on the Global COVID-19 outbreak was held on March 24th, 2020. This meeting has set the overall EAC Agenda going forward. The Agenda was later approved by the EAC Summit of Heads of State on 12 of May, 2020. The Communique after the summit states that the EAC Partner States have adopted and are implementing the following:  A Harmonized System for certification and sharing of COVID-19 test results;  EAC Digital Surveillance and Tracking System for Drivers and crew on COVID-19;  EAC Administrative Guidelines to Facilitate Movement of Goods and Services during the COVID-19 Pandemic;  EAC Regional COVID-19 Response Plan and its key targeted interventions; and  Regional Mechanism for COVID- 19 testing, certification and monitoring of truck drivers. Decisions of the EAC Summit of Heads of State and EAC Council of Ministers are binding on the EAC Partner States. So, for example, the Administrative Guidelines, mentioned above, are now legally binding for all Partner States. The guidelines contain some key provisions to facilitate cross-border trade in the context of the pandemic. They related to, for example, repatriation modalities for truck drivers involved in cross border trade, quarantine requirements, transit corridors, etc. In terms of the EAC setting up a Digital Surveillance and Tracking System for Drivers, such a system will leverage, the existing system hosted by the Revenue Authorities, and additional functionalities will be added to that system to track the health of truck drivers and to enable contact tracing. Furthermore, the EAC has already developed and approved an all-encompassing, long term plan to provide a set of policy responses both in the area of health as well as trade and economic policy to the COVID-19 pandemic. The Plan outlines, in details, the relevant interventions, in a variety of areas. Some of the most notable interventions include: 74 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Strengthening sensitization and awareness creation on COVID- 19 (Risk Communication and Community Engagement);  Ensuring access to Personal Protection Equipment (PPE), laboratory supplies and equipment by the EAC Organs and institutions, and the EAC Partner States (Procurement and supply of supplies and equipment);  Strengthening capacity for COVID -19 surveillance and reporting at all key border points, and building knowledge on safety measures, existing prevention and control strategies and relevant regional guidelines;  Regional Coordination of responses to the COVID-19 pandemic to facilitate the movement of goods and services;  Mitigation of fundamental impacts of the pandemic on the various vital economic and social sectors of the EAC region, including MSMEs;  Facilitation of a harmonized and coherent implementation of priority activities that will be instrumental in economic recovery in the short-term;  Building Regional capacity to support partner states on surveillance, monitoring and coordination of preparedness and response to the pandemic. Among the numerous planned interventions, the most notable include pooled procurement of PPE and testing kits, stimulus packages for manufactures to enable them to boost production and facilitation of the movement of goods and services in the EAC region under Customs Union Protocol. To date, most prominent EAC achievements in this respect are provisions of mobile laboratories to test for COVID-19 to all EAC Partner States, including South Sudan and the establishment of Regional Electronic Cargo and Driver Tracking System (RECDTS). RECDTS is designed as a mobile phone application and will enable the issuance of the EAC COVID-19 digital certificates that are mutually recognised by the Partner States, thus eliminating the need for multiple testing as well as contributing to alleviating ongoing congestion at East Africa border crossing points. 4.7 Cross-Cutting Issues: Strategy for Implementation 4.7.1 Harmonization of South Sudan Law with the EAC Article 126 (2)(b) of the EAC Treaty provides that “Partner States shall through their appropriate national institutions take all necessary steps to harmonize all their national laws appertaining to the Community”. Harmonization of national laws is one of the critical steps required to facilitate regional integration. Crucially, the EAC has made community law superior to other domestic legal systems. The Treaty provides in its Article 8(4) that ‘community organs, institutions and laws shall take precedence over similar national once on matters pertaining to implementation of the Treaty’. 75 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION However, national legislation has to be used to give its effect in terms of Article 8(2) of the EAC Treaty. Partner states have to enact national provisions that empower the Treaty. The EAC also has the preliminary reference procedure enshrined within its Treaty. Article 34 of the Treaty requires the national court to refer cases for interpretation to the EACJ in the case of inconsistencies between national and EAC law. Laws and directives require transposition into the domestic legal system of the Partner State to become effective. In essence, therefore, every national court must apply EAC law in its entirety and protect rights which the latter confers on individuals. As in the case of the European Union direct applicability in such circumstances mean that rules of community law must be fully and uniformly applied in all the member states for so long as they continue to be in force. 4.7.1.1 Harmonization of Laws between South Sudan and the EAC: the Benefits As outlined above, South Sudan is legally compelled by the Treaty of Establishment of the EAC to harmonize its laws and regulation with these of the EAC. Such harmonization is assumed to bring long-lasting benefits to the country by streamlining its legal system to regional and international best practices. It can be argued that legal approximation to the EAC may even be more important for South Sudan then elsewhere as the legal system in the country is still being developed. The process of harmonisation aims to:  create consistency of laws, regulations, standards and practices, so that the same rules will apply to businesses that operate in the EAC, and so that the businesses of one state do not obtain an economic advantage over those in another as a result of different rules.  reduced compliance and regulatory burdens for businesses operating nationally or trans-nationally. An objective of the EAC to achieve uniformity in the laws of member states is to facilitate free trade and protect citizens. The laborious procedures involved in the approximation of laws leads to results which can be very useful to the process of regional integration and economic development. Indeed, once the standards are the same in all member countries, type-approval of a product granted in any member country is recognized by all the others. Businesses have a better knowledge of operating in the country as it applies regional rules and regulation and manufacturers need only fulfil one set of standards. Harmonisation of legislation is also very useful for consumers since it guarantees them the quality and safety of products circulating in the large market ensuring the protection of consumer and environment. Such harmonization is the very essence of a common market and as such is a key EAC commitment. 76 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION It is envisaged that in South Sudan in particular, the legal compliance process shall enable, among others, to fully implement the provisions of the customs union, common market and monetary union. 4.7.1.2 The process and of legal harmonization in the context of the EAC Since joining the EAC, Partner States has undertaken significant efforts to harmonize their legislation as this is the very heart of EAC regional integration efforts. To support the Partner States in these efforts, the EAC Council of Ministers established a sub-committee on the approximation of national laws. The sub-committee spearheads the process of harmonisation of national laws. It is headed by the Partner State’s Law Reform Commissions and it works under the Sectoral Council on Legal and Judicial Affairs. The sub- committee has considered several laws including laws governing contracts, immigration, labour and employment, insolvency, sale of goods and intellectual property. It made specific recommendations on areas that each Partner State is required to work on to harmonise the national laws. However, it is important to note that, the task of re-drafting and implementing the laws remains the task of the Partner States. At this stage, it is also important to add that given the legally binding commitment to implement EAC provision it may be possible for South Sudan to pass or amend relevant legislation in bulk during one sitting of the Assembly. In South Sudan such review may include at minimum the following laws:  Laws relating to trade (covering legislation on movement of goods and services, bulk sales, business premises, contract, customs, external trade, import and export transactions and sale of goods, etc.).  Passport and Immigration Laws;  Labour Laws;  Company Laws and Laws Governing Business Transactions (covering legislation on bankruptcy, building societies, business organizations, capital market development, the co-operative movement, export processing zones and transfer of businesses, etc.);  Finance and fiscal legislation (financial regulation and capital markets);  Insurance and re-insurance legislation;  Investment laws;  Procurement and disposal of assets legislation;  Monetary legislation (covering exchange rates, interest rate and inflation, etc.);  Standardization, quality assurance and metrology legislation;  Banking laws (covering legislation on banking, banking and lending institutions, development banking, bills of exchange and arrangement and micro-finance, etc.); Given that South Sudan is currently developing its legal system, the regulatory compliance exercise may entail a smaller set of laws. The priority laws from this perspective are: 77 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION  Companies Act, 2012  Investment Promotion Act,  Customs Act, 2015  NGO Act, 2015  Insolvency Act, 2011  Taxation Act, 2009  Contracts Act, 2008  Judiciary Act, 2008  Passports and Immigration Act, 2011  Banking Act, 2010  The Transport Act, 2008  Public Finance Management and Accountability Act, 2011 4.7.1.3 Strategy for implementation of EAC Legal Harmonization Provisions The implementation of a holistic review of South Sudan laws is not an easy task. It requires undertaking an in-depth comparative analysis of EAC and South Sudan law and ultimately re-drafting numerous South Sudanese legal texts. The Ministry of Justice, the Law Review Commission, Ministry of EAC Affairs and line Ministries need to cooperate effectively. For this reason, this strategy proposes for special sub-committee to be created. The proposed sub-committee on legal harmonization with the EAC should be spearheaded by the above- mentioned institution and administered by the Ministry of EAC Affairs. 4.7.2 The Implementation of EAC Gender Agenda 4.7.2.1 Overview The East African Community has an extensive work agenda related to equating opportunities among genders. This is an important workstream of the EAC given that there is overwhelming evidence pointing to the fact that giving women economic and social opportunities leads to superior sustainable development outcomes. EAC work in the area gender, youth, children, persons with disabilities, social protection and community development is spearheaded by the Sectoral Committee of Minister on Gender, Youth, Children, Persons with Disabilities, Social Protection and Community Development. To date, four (4) meetings of this Committee have taken place along with the corresponding committees of permanent secretaries and senior officials. A synopsis of work in this area is provided below. 4.7.2.2 Strategic Plan for Gender, Youth, Children, Persons with Disabilities, Social Protection and Community Development The Sectoral Committee of Ministers on Gender has developed an EAC Strategic Plan for gender, youth, children, persons with disabilities, social protection and community development. This first such plan was developed for the period 2012-16. It outlined key interventions in the six distinct components. It noted broad strategic objectives of each of 78 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION the above components as well as the specific targets to be achieved during the period. Recently a new Strategic Plan was developed for the years 2017-2022. Under the gender thematic area, the strategic plan envisages to promote gender equality, equity and women and girls’ empowerment as normative in the EAC Partners States by mainstreaming gender into all strategic interventions and sectors of the community, promoting women in socio-economic development and women in business and promoting the participation of the citizenry in EAC processes. This will entail the provision of an enabling policy and legislative framework for gender equality and equity, conducting relevant assessments on the status of gender equality in the EAC and undertaking initiatives to promote economic security for women. Under youth empowerment, the strategic plan intends to promote the socio-economic and political development of the youth within the EAC. It targets the harmonization of regional youth policy and legal frameworks, promotion of strategies for youth employment creation and mainstreaming youth issues in the planning and budget processes of six priority sectors of EAC including health, agriculture, peace and security, trade, infrastructure and statistics. The strategic plan provides for measures to facilitate capacity building of youths in vocational skills, ICT, e-commerce and other special tailored programmes. Regarding the issues of children protection and development, this strategic plan seeks to implement a comprehensive, coherent and harmonized regional policy on children to promote children’s rights among the Partner States. The plan further urges the EAC Partner States to harmonize legislation on the implementation of international conventions on the protection of children’s rights with emphasis on children in conflict situations, orphans, those with disabilities, other vulnerable children as well as those infected with HIV/AIDS. The strategic plan equally seeks to address a full range of issues and challenges affecting the persons living with disabilities. Across the world, as well as in the EAC, people with disabilities have poorer health outcomes, lower education achievements, less economic participation and higher rates of poverty than people without disabilities. This is partly because people with disabilities experience barriers in accessing services that many of us have long taken for granted, including health, education, employment, and transport as well as information. These difficulties are exacerbated in less advantaged communities. Therefore, this Plan is in place to promote the inclusion of a diversity of the people in the region in the development and seeks to eliminate disparities in service provision and ensure services are available to all citizens with disabilities. On social protection, the strategic plan intends to improve the living conditions of the vulnerable members of society through social protection programs by developing a regional policy on social protection and undertaking a review on the existing programs and approaches on social protection programs in the EAC Partner States. The plan aims to establish a regional forum on social protection at the EAC level and facilitating regional and 79 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION south to south cooperation and international exchange visits to share best practices on social protection. Community Development seeks to empower individuals and groups of people by providing these groups with the skills they need to affect change in their communities. It involves changing the relationships between ordinary people and people in positions of power so that everyone can take part in the issues that affect their lives. This plan seeks to enhance communities to identify and develop sustainable and inclusive solutions to their social development challenges. The strategic plan will develop a legislative framework for community development and develop a capacity building programme for Community Development and engage more community development stakeholders. 4.7.2.3 Gender Equality and Development Bill/Act In 2017, a ground-breaking achievement at the EAC took place. For the first time in history, the EAC has a legal instrument that promotes gender equality. The EAC Gender Equality and Development Bill was tabled at EALA as a private members bill and later passed by the same body on 8th March 2017. The bill now awaits assent by the Heads of State for it to become legally binding. The specific objectives of the Bill are to: a. harmonise the national laws of the Partner States with the regional and international standards of protection and promotion of human rights based on the principles provided for under section 3, and under the commitments of the Partner States to these standards through the signature and ratification of the various human rights instruments; b. enhance the level of implementation of these instruments through the incorporation of emerging issues and gender concerns; c. promote non-discrimination and gender equality in the processes of governance as a means of strengthening regional integration and sustainable development of the Community; d. provide a participatory framework for strengthening, monitoring and evaluating the level of adherence to regional and international standards of human rights protection through a reporting mechanism based on realistic, measurable targets, time frames and indicators supported by the allocation of the necessary resources for achieving them; e. promote the participation of women and men in regional trade and sustainable economic growth by entrenching enabling gender policies and macro-economic frameworks. 4.7.2.4 Development of the EAC Gender Policy The EAC Gender Policy has been developed to provide guidance on institutionalising gender strategies in the EAC Integration Agenda. This was done in order to ensure that the rights of women and men, boys and girls are promoted, protected and realized on an equal basis. 80 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION This Policy provides a framework, intended to accelerate the realization of gender equality, fairness between men and women, non-discrimination and fundamental rights in East Africa. The Policy framework is a tool to facilitate the advancement of East Africa’s political and social-economic integration, guarantee that gender issues are included in the EAC agenda, accelerate gender mainstreaming, contribute to higher living standards and enhance the efforts exerted by the East African people to play their rightful role in a globalising world. As such, the Policy proposes several actions and the following priority areas: i. Gender, Governance and Participation ii. Education and Training iii. Health and HIV/AIDS iv. Gender-Based Violence v. Environment and Climate change vi. Energy vii. Agriculture, Food Security and Nutrition viii. Trade and Economic Empowerment ix. Security, Peace Building and Conflict Resolution x. Gender and Migration xi. Access to Clean water and sanitation xii. Forest cover The EAC Gender Policy is informed by the international, regional and national legal frameworks and will among others guide focused formulation and integration of gender issues in programming within the region. Also, the policy provides a mechanism of reporting on international and regional commitments by the EAC Partner States as a Regional Economic Community (REC). It also takes into account the fact that policy implementation requires all stakeholders working together and therefore brings together the different players, decision-makers, development partners, private sector, civil society and the East African citizenry. The draft EAC Gender Policy has undergone reviews, editing and validation by the EAC Secretariat and is now presented to the Partner States for analysis. 4.7.2.5 The EAC Gender Barometer The EAC Gender Barometer is a participatory people-centred research report from EAC Partner States that contains information and statistical data from different areas that need to be gender-balanced. These areas include legal and state obligations to protect human rights, gender-based violence, the media, education, health, power and decision making, economic empowerment, agriculture and food security, land rights, trade, peace and security, environment management, extracting Industries, marginalized groups, financial provisions, and institutional arrangements. 81 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION The Gender Barometer is intended to serve as a participatory measurement tool to support the substantive implementation of key gender commitments and hence responsive governance. It sets in motion a process by which the EAC will periodically monitor, measure and document the progress of gender equality in key result areas and thereby facilitate a regional conversation on strategies for enhancement of substantive gender equality and sustainable development. 4.7.2.6 Action Plan of the EAC Child Policy; the Framework for Strengthening Child Protection Systems in the East African Community and the Minimum Standards on Comprehensive Services for Children and Young People in the East African Community The EAC Child Policy was adopted by 2016. The Policy provides a framework to facilitate the development, coordination and strengthening of national efforts towards the realization of children's rights by setting out ten priorities for implementation. An action plan to has also been developed. The Policy notes, among others, the need to strengthen national child protection systems and community mechanisms within the EAC region to ensure that all children in all settings are protected from violence, abuse, exploitation and neglect. The EAC Secretariat has developed the Framework for Strengthening Child Protection Systems in the EAC based on the Child Policy. The initiative to develop the Minimum Standards on Comprehensive Services for Children and Young People in the EAC also was spurred by the EAC Child Policy. The EAC Child Policy highlighted the need to generate a common understanding and approach to children’s and young people’s well-being and called for the development of guidance for the Partner States to ensure the wellbeing of all children and young people, to ensure no one is left behind. 4.7.2.7 EAC Regional Strategy for Promoting Women in Business for Socio- Economic Development and the 50 Million African Women Speak Platform Project The EAC Secretariat developed EAC regional strategy for promoting women in business for socio-economic development back in 2015. The purpose of the regional strategy is to delineate interventions on how to promote women in socio-economic development and women in business. As part of the strategy, the EAC became a party to the 50 Million African Women Speak Platform Project. The premise of the Project is that women business owners continue to face gender-specific barriers such as lower levels of education and business training, weak property rights that deprive them of collateral and tangible assets. There are also legal barriers that impede their economic activities and cultural barriers that discourage women from thriving as entrepreneurs. The consequence is that women have challenges accessing financial and non-financial services and so the size and growth of their businesses suffer. ICT prospectively can help to alleviate some of these challenges. Consequently, the 50 Million Women Speak project is creating a dynamic networking internet platform for women entrepreneurs, connecting them in ways that will foster peer-to-peer learning, mentoring 82 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION and the sharing of information and knowledge within communities, and provide them with access to trade finance and market opportunities between urban and rural areas, and across borders and between countries. The project is ongoing. The total estimated cost of the project is USD 9.8 million through an African Development Bank grant. The project is expected to benefit women entrepreneurs all across Africa. 4.7.2.8 Recommendations/Policy Options for the Sector  Relevant Ministries review and analyse the provisions the following documents related to the Regional Cooperation workstream with the view to commence implementation of these Policies/documents in South Sudan: o EAC Strategic Plan for Gender, Youth, Children, Persons with Disabilities, Social Protection and Community Development o EAC Gender Equality Development Act/Bill o EAC Gender Policy o EAC Regional Strategy for Promoting Women in Business for Socio-Economic Development and the 50 Million African Women Speak Platform Project o EAC Child Policy and the Action Plan for Child Policy o the Framework for Strengthening Child Protection Systems in the EAC and the Minimum Standards on Comprehensive Services for Children and Young People in the EAC  Carry out a prioritization exercise and determine which of the Programs outlined in this Section need to have priority in implementation and focus on them.  Streamline Regional Integration Programs in the policies and plans of the Ministry/Department etc.  Budget key activities in for implementation. Here the special attention should be given to budgeting attendance at various meetings of the EAC to be able to carry out the Regional Integration agenda. 5 CHAPTER 5: Conclusions The South Sudan National Policy and Strategy on East African Community Integrations was drafted to support and guide the implementation of EAC reforms, provisions and commitments. The document should act as a blueprint, or a plan, as to how to implement the EAC Agenda. The Policy and Strategy sought to be a step-by-step outline as to what each key Institutions of the Government needs to do to join EAC projects and programs. The document forms a guide to the implementation of programs by the newly created Ministry of EAC Affairs and other key institutions. To date, South Sudan’s implementation of EAC provisions has been lagging. South Sudan became a Member of the Regional Bloc just before the second phase of the internal conflict erupted in 2016. With the implementation of the Peace Agreement, the Ministry of EAC Affairs was created in February, 2020 outlook towards execution of EAC provisions was 83 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION bright once again. Regrettably, just a month later in March, 2020 the emergence of COVID- 19 worldwide pandemic once again called into question the as to whether capacities can be availed for swift implementation of the EAC Reforms. As we now move towards a more moderate phase in the pandemic in South Sudan a window of opportunity opens up to focus on these important commitments. It is for this reason that the South Sudan Policy / Strategy for EAC Integration was drafted. 84 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 6 ANNEX I: Roadmap for Implementation of EAC Customs Union and Customs Management Act 1) Implementation of of the Protocol establishing the EAC Customs Union (CU).  Training and effective implementation of various customs procedures is key to effective implementation of the Protocol.  Building capacity in the Customs Union Protocol is a pre-requisite for sustainability and should be placed as priority number one. EAC Customs Union Implementation and Resource Risks/Mitigating Customs activities Provision requirements Factors/Dependencies 1. Implement the Protocol  Overall training regarding the EAC  Funds (Internal/ External) For successful implementation of the Establishing the EAC Customs Project and Programmes with special EAC Custom Union Protocol user Union as an integral part of the  Trainers (Internal/ External) acceptance of changing work focus on Customs matters for both EAC Treaty. Customs Officers and Clearing Agents.5 environment is critical. This will require Management support on NOTE  Customs training Department to discuss aligning knowledge handling with preparation for training programme users. Training on the Protocol comes with the other departments and also as part of the general customs with the Clearing Agents. training programme.  Sourcing relevant funding and selection Training for Customs and of trainers. Clearing Agents constitutes a  Preparation of a training timetable6 on key but not exhaustive part of the EAC, the Customs Union and the overall sensitization and Common Market training activities that GRSS  Preparation of training materials shall undertake to enhance the country’s knowledge of the  Trainees7 selected. Customs Union Protocol. Other  Purchase of copies of the Treaty and trainings and activities will also Protocol. be scheduled. 5 Training of clearing agents will be carried out separately and, therefore, they will have their own training timetable. 6 The proposed time-table should be drawn up to cover all the training issues under customs – a complete training course for the 700 customs officers and their preventive staff. 7 There should be between 25-30 Customs officer per class during training sessions. 85 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 2) Implementation of the Common External Tariff (CET) and its review process.  The EAC CET is aligned to the WCO’s Harmonized Customs Commodity Descriptions and Coding System (HS) 2012 Version  It is a three-band structure of 0% for raw materials and capital goods, 10% for intermediate goods and 25% for finished goods.  There are sensitive items for 58 products which attract tariff rates of above 25% EAC CU Implementation and Activities Risks/Mitigating Factors Provision Resource requirements 1. Implement  Accession to the HS Convention. Relevant Government procedure  Implementation of the CET See description below.

Annex I (EAC for acceding to an International Convention need to be carried requires skills in CET) to the out. classification of goods. Protocol.  Carry out training in the HS. Hence the first thing to do is to carry out training on the  Selection of trainers. HS Classification Code. This  Preparation of a training timetable on the WCO Harmonized training should not await System (HS) Accession formalities. This  Preparation of training materials. being a highly technical subject, requires time for  Trainees selected. officers to internalize).  Training of trainers.  Implementation of the CET  Procurement of HS Explanatory Notes or print if in electronic also requires skills in format. implementation of  Procurement of HS Legal text or print if in electronic format. preferential tariff structure as well as setting up  Procurement of HS Compendium of Classification Opinions or print relevant procedures and if in electronic format. practices for Certificates  Production of HS Training hand-outs. (Rules) of Origin.  Procurement of HS Database.  Availability of funds (Internal/External).  Trainers (Internal/External). 86 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION (as above) Mitigation measures 2. Adopt and  Carry out a detailed analysis that will incorporate the following: mentioned in Column 2 and implement a o Review of the CET tariff lines and assess the costs to consumers related to strengthening three band and revenue effects to the government. government revenue tariff o Preparation of trade data collection elsewhere and structure of o Preparation of revenue figures tacking cost-rising effect of 0%, 10% and o Calculation of revenue loss/increase. the CET may be difficult to 25%. o Assess the revenue impact of the application of the CET. implementation in practice. o Provide policy recommendation and advise on way forward. o These policy recommendations shall make the basis for implementing the required mitigation policies to offset the cost 3. Adopt the rising and government revenue loss as a result of the CET. EAC Sensitive Items list. 4. Accede to  RSS accession to the WCO HS Convention since it is already a  WCO Expert assistance No risk anticipated. WCO HS member of WCO.  Legal advice from Ministry Convention  Preparation of relevant accession documents. of Justice or other  Implement trainings on HS convention as detailed under relevant body regarding activities for implementation of Annex 1 to the EAC (CET) the details of Accession to protocol above the International Conventions.  Parliamentary approval. 3) Elimination of Internal Tariff and Charges of equivalent effect.  The EAC enjoys a free trade regime for products that qualify under the EAC Rules of Origin. Goods originating in EAC do not attract import duties when traded between Partner States.  The EAC Partner States eliminated charges of equivalent effect on internal trade. 87 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Risks/Mitigating Implementation and Resource Factors and EAC CU Provision Customs and other Institutions activities requirements Dependencies 1. Grant duty free  Carry out a detailed analysis that will incorporate the  Availability of relevant skills See above and quota free on following: and funds. all goods o Detailed review of trade data, since independence, of goods  Training Experts originating from originating from the EAC region and the World (Internal/External) Partner States and o Determine importance by tariff line. vice versa. o Assess the revenue impact of the application of the CET. o Policy recommendation and advise on way forward. o These policy recommendations shall make the basis for implementing the required mitigation policies to minimize potential cost rising and government revenue losses as a result of the CET.  Train Custom Officers on Rules of Origin to ensure appropriate inspection and implementation of the provision. 2. Eliminate any  Conduct a study that outlines charges of equivalent effect that  Availability of Funds. charges of can distort trade.  Experts (Internal/External) equivalent effect  Customs to list its own charges of equivalent effect to that may distort determine why they exist and give appropriate advice to trade in the region. Government to eliminate these distortions. 88 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 4) RSS to implement the EAC Customs Management Act (EAC CMA) EAC CU Implementation and Resource Risks/Mitigating Factors and Actions of Customs and other Institutions Provision requirements Dependencies 1. Implement  Carry out training for Customs Officers on  Funds (Internal/External)  Acceptance of implementation of the CMA  Trainers (Internal/External) new procedures by the users – the EAC  Selection of trainers  EAC Secretariat to avail copies of training is key to soliciting user buy- Customs  Preparation of a training timetable on the CMA, CMA Customs Regulations, in. Management EAC CMA ,EAC Duty Remission Regulations  Availability of professional customs Act  Preparation of training materials and Compliance Management trainers (including a lawyer from  Review national Customs law to incorporate Regulations. customs) provisions of the CMA and related  Cooperation of the Ministry of regulations Justice in fast-tracking the necessary NOTE  Trainees selected legal amendments  Training of trainers  Parliamentary approval may need to (The various  Print and make available copies of CMA be sought for the amendment of customs Regulations, Duty Remission Regulations, the various Acts and Regulations, and Compliance Management Regulations, which could prove time consuming. Regulations to relevant departments of SSCS. This risk can be mitigated by having will be  Avail National Customs Law to all required ongoing sensitization process analyzed and parties. targeting law makers including the implemented  Identification of Customs documentation role of the parliament in the  Print the documentation Accession process together with  Develop/review/realign South Sudan the CMA) Customs Operating Procedures to ensure compatibility with the CMA and related regulations  Train Customs Officers on the revised and CMA compatible operating procedures 89 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 2. EAC  The adoption of the Customs Union  Legislation experts will need to As above Management Act means the Act will be support the process. Customs directly applicable on the territory of RSS management and will takes precedence over customs laws Act takes of RSS in case of conflicts (Section 253 of the precedence Management Act). Hence harmonisation and approximation of domestic regulation will be over similar undertaken to take this into account. The national laws. task to achieve the above are as follows:  Identify relevant South Sudan Acts and Regulations including: 1) the Customs Act, the Penal Code, the Police Act etc and amend as appropriate.  Establishment of Tax Appeal Tribunals in line with the provisions of the CMA.  Prepare list of goods subject to customs control / liability for contravention shall be incorporated into domestic law (CMA Section 16). This also includes other procedures such as Customs Exemptions. 3. GATT  Become signatory to the Valuation  Funds (Internal/External) Availability of professional customs Agreement  Trainers (Internal/External) Valuation trainers. valuation  Carry out training on the Valuation System as  Copies of the WTO Customs Agreement valuation Agreement, WCO stipulated in  Preparation of a training timetable on the Customs Valuation Hand book and the EAC CMA Customs valuation the EAC Customs Valuation  Training of trainers (national). Manual made available Customs  Procurement of the Valuation Handbooks. Officers  Undertake an overall process of procedural and management change in line with the provisions of the GATT Valuations System. 90 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 5) Implement the EAC Customs Regulations.  These are the subsidiary legal instruments for operationalisation of the EAC CMA Act. The Partner States are implementing the Regulations in the day-to-day operations. Implementation and Resource EAC CU Provision Actions of Customs and other Institutions requirements 1. RSS to implement the  Adopt the EAC Customs Regulations.  Funds (Internal/External) following Customs  Procurement of the EAC Customs Regulations  Trainers (Internal/External) Regulations.8  Training of officers  Copies of the CMA Regulations  Once trainings are concluded the South Sudan Customs  Hand outs Services shall undertake an overall process of procedural and management change to implement the reforms required by a) The EAC Customs Management the EAC Customs Regulations. This will require a detailed Regulations analysis of the Regulations for customs to internalize and implement these regulations. b) The EAC Customs Management (Duty Remission) Regulations c) The EAC Customs Management (Working Arrangements between the Directorate and Customs) Regulations d) The EAC Customs Management 8 Note: These are likely to be implemented together with the CMA 91 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION (Compliance and Enforcement) Regulations) 6) Implementation of EAC Rules of Origin The EAC Rules of Origin sets out the criteria and management of Intra EAC trade. It came in force in 2005 and reviewed at the end of 2014. The New Rules of Origin will come into force this year (2015). Implementation and Resource EAC CU Provision Actions of Customs and other Institutions requirements 1. Implement the EAC  Adoption of the EAC RoO.  Funds (Internal/External) Rules of Origin.  Trainers (External)  Carry out training of Customs Officers on RoO.  Copies of EAC RoO  Training of trainers (National).  Copies of the EAC RoO Manual  Procurement of copies of the RoO Manual (Not necessarily for all  Certificates of RoO officers. Can be restricted to Headquarters’ RoO Unit, airport and some busy entry/exit stations).  Establish a RoO Unit, which will be responsible for issuing and verifying Issuance of certificates of Origin. 2. RSS to mandate  GRSS to sanction and design specific administrative system for the  Funds (Internal/External) Customs to issue issuance of Certificates of Origin. Certificates of Origin.  Printing of Certificates of Origin  Issuance of Certificates of Origin  Staff will need be well versed with assessing manufacturing companies production structure to determine whether or not a COO can be issued. 92 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 7) Progress with the establishment of a Single Customs Territory The EAC commenced implementation of a Single Customs Territory in 2014. This marks the consolidation of the Customs Union where goods are cleared at the first point of entry upon declaration and payment of taxes in the destination Partner State (Destination Principle). Currently clearance of goods covers both imported cargo from outside EAC and intra EAC trade between the five Countries. Inland Partner States have posted officers in Kenya and Tanzania to facilitate clearance at the ports of entry. Implementation and Resource EAC CU Provision Activities requirements 1. RSS to adopt the  Post an officer at Mombasa.  Funds (Internal/External) Framework for  Full Computerization of Customs Clearance Systems and training of  Computer equipment and other IT operationalization of Customs Officers are computer literate. infrastructure. the Single Customs  Carry out pilot clearance of selected goods  Trainers (External) Territory.  Submit a list of those selected goods to be cleared under the SCT.  Training materials on the SCT  Train Customs Officers on SCT and review customs operating procedures  Successful adoption of a comprehensive accordingly computerization program under ICT NOTE  Training of Clearing agents on SCT and any resulting changes to operating Strategy) procedures. - Dependent on the adoption of other EAC (Once most of the  Sensitization of the private sector customs procedures. other ingredients are  Preparation of a training timetable on the SCT in place, the SCT can take effect) RSS to fully  Agree on a list of products to be cleared under the SCT under pilot basis  Funds (Internal/external) operationalise the  Develop and implement a rollout plan products cleared on SCT as per the  For successful implementation of the SCT Single Customs roll out road map. user acceptance of changing work Territory  Eliminate other barriers to trade both tariff and non-tariff barriers environment is critical. This will require Management support on aligning knowledge handling with users. 93 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 8) Harmonization and simplification of customs procedures; The Council adopted EAC Customs Procedure Manual in 2012. The purpose of the manuals is to enable uniform application of the customs processes in the delivery of the customs services. The manuals are benchmarked against the WCO Revised Kyoto Convention on Harmonization and Simplification of the Customs Procedures. Implementation and Resource EAC CU Provision Activities requirements 1. RSS to implement  Implementation of the Manuals will be related to activities already  Funding (Internal/External) the following EAC outlined in this Roadmap such as adoption of EAC Rules of Origin, GATTs  Trainers (Internal/External) Customs Procedure Customs Valuation etc. manuals:  Adopt and implement the EAC Customs Procedure Manuals  Include in the training programme.  EAC Customs  Printing of Manuals. Procedures  Analyze in detail: 1) Baseline procedures currently being implemented by  EAC Valuation the South Sudan Customs Services; 2) the extent to which administrative Manual and procedural change is necessary to implement the relevant EAC Customs Procedure Manuals; 3) The resource and staff skill requirements  EAC Post essential for implementation of the Manuals. Clearance Manual  The EAC Rules of Origin Manual  The EAC Duty Remission Manual 94 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 9) Customs Strategy The EAC Customs Strategy covers the period of 2011-2016 and it is aligned to the overall EAC Development Strategy. It lays out Customs priorities and interventions thereof to support full implementation of EAC Customs Union hence ties directly to the regional integration process of the EAC. Implementation and Resource EAC CU Provision Activities requirements RSS to implement the  Internalization of the Strategy by Customs Management and Customs In line with requirements in other areas of EAC Customs Planning Unit. Customs reform. Strategy 2011-2016  The implementation of numerous provisions of the Strategy is already covered elsewhere in this Roadmap.  Implement the Customs Strategy 2011-16. RSS to participate in  South Sudan’s Customs service shall assign officials to participate in the the development of development of the new strategy. N/A EAC Customs Strategy 2016-2021 10) Implementation of harmonized customs training and curriculum A regional Customs Curriculum has been developed and rolled out by some Partner States. A training Strategy and Standards were also developed. A process of accrediting the EAC Curriculum is ongoing in Partner States. Implementation and Resource EAC CU Provision Activities requirements 1. RSS to implement  Adopt and implement the:  Funds (Internal/External) the: a) EAC Customs Training Curriculum  Trainers (Internal) b) EAC Training Strategy and Standards.  The EAC Customs 95 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Curriculum c) EAC Customs Training of Trainers Manual  EAC Training  Internalization by Customs Training department. Strategy and  Adjust current training programmes to incorporate the EAC Training Standards Curriculums.  The EAC Customs  Training of Customs trainers. Training of Trainers Manual.9 11) Interconnectivity of customs IT systems and ICT Technical support on Automation and Integration of customs systems and process. Customs administrations in Partner states have been automating their systems and this has enhanced Customs clearance. In order to further integrate customs clearance in EAC a project to interconnect Customs processes is ongoing. Interfaces of Customs Systems has been attained on a bilateral and centralized platforms known as RADDEX Implementation and Resource EAC CU Provision Activities requirements 1. Implement the EAC  Finalise the pilot stage that will interface South Sudan Customs with their  Funds (Internal/External) Customs IT counterparts at Uganda Customs.  IT/Computer experts (Internal/External) Regulations.  Migrate to Asycuda World.  IT infrastructure  Undertake a comprehensive programme for the automation of Customs  Availability of funding systems.  Reliable power supply.  Procurement of additional computer equipment and software to cater for the needs of EAC Customs Strategy.  Legal framework  Recruitment of IT/Computer Experts to run the relevant computer systems. 9 Should be considered while planning the proposed training programme. 96 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 12) Establishment of One Stop Border Points and supportive legal framework and EAC internal border operations The One Stop Border Post (OSBP) is a concept which entails that people and goods stop only once at the border for all clearance formalities (both exit and entry). Within East Africa, fifteen (15) border posts have been earmarked to operate as OSBPs. The EAC OSBP Act was enacted by EALA and is undergoing assent by the Heads of States. The OSPB draft regulations are being developed Implementation and Resource EAC CU Provision Activities requirements 1. RSS to adopt and  Adopt and implement the EAC OSBP Act once it is assented implement the EAC  Strengthen the exchange of customs officers with Uganda OSBP Act once it is  Exchange of information between RSS customs and Uganda Customs and assented. initiate similar information sharing arrangements with other EAC countries.  Implement the MOU with Uganda and Kenya Customs. Availability of funding for the development  Sign MOUs with Rwanda, Burundi and Tanzania Customs. of OSBP. 2. Development of  South Sudan shall allocate civil servants to Participate and develop Regulations the EAC OSBP regarding OSBP with other Partner States. Regulations once admitted. 13) EAC Trade facilitation Programme Trade Facilitation is an integral component of the Protocol Establishing the EAC Customs Union. A number of initiatives are being implemented to enhance trade facilitation in the region. The EAC Partner States have embraced the Trade Facilitation Agreement of WTO and have commenced preparations to submit the specified categories of the Agreement to WTO EAC CU Provision Activities Implementation and Resource requirements 1. Implement  Implement trade facilitation initiatives being undertaken in EAC.  Funds (Internal/External initiatives on Trade  Trainers (External) facilitation. 97 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 2. Become a member  South Sudan will need to design a comprehensive plan/strategy for its  Funds (Internal/External of WTO. accession process to the WTO.  Trainers (External)  Acceptance of the WTO Trade Facilitation Agreement (TFA)  Training of Customs Officers on the WTO.  Accession to the WCO RKC. 14) Cooperation with Partner States Customs Administration  Exchange of information.  Joint customs programmes.  Administrative assistance.  Enforcement and compliance operations. EAC CU Provision Activities Implementation and Resource requirements 1. Customs to  Participation in the customs activities such as Revenue Authorities  Funds (Internal) cooperate with EAC meetings, EAC Heads of Customs Committee meeting etc. Partner States  Adopt cooperation instruments customs  Share information with other Customs administrations of EAC Partner administrations in States. order to enhance  Joint border patrols. integration of EAC.  Participate in border security meetings. 15) Institutional Framework of Customs  All EAC Partner States have established Revenue Authorities.  The structures of Customs have, to a certain level, been aligned. Negotiating Issues Overview of Progress 1. RSS to establish a On overview of progress with regards to the Establishment of a Revenue Authority in South Sudan is outlined in the South Sudan Revenue Authority. submission on tax harmonization. Here it is sufficient to note that the Revenue Authority Bill (2015) is currently at the second reading at the National Legislative Assembly. Once the Assembly passes the Bill, and H.E. the President signs it, the Act will pave the way for 98 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION the creation of the Revenue Authority. Necessary plan for the creation of such an authority have already been prepared. 16) Customs Modernization Programmes All Customs administrations have been undertaking Customs modernization programmes to improve Customs efficiency. EAC CU Provision Activities Implementation and Resource requirements Customs Undertake Customs modernization programs through a number of  Funds (Internal/External) modernization interventions including:  Experts in each area (Internal/External) initiatives  Automation of Customs Systems  Interconnectivity with Partner states  Adoption of Risk management  Private sector consultations and partnerships.  Adoption of Authorized Economic Operators programmes  Adoption of Electronic Cargo tracking  Use of scanners. 17) Development of Enforcement and Risk management Systems The Community adopted the EAC Compliance and Enforcement Regulations which focus on information sharing, use of Information Technology, Authorized Economic Operator (AEO) programme, Mutual Administrative Assistance and compliance audit. The programmes are implemented under the EAC Compliance and Enforcement Action Plan. EAC CU Provision Activities Implementation and Resource requirements 1. Implement the EAC  Apply the EAC Customs Management (Compliance od Enforcement) Funds (Internal/External) customs Management Regulations (Compliance and  Training Enforcement)  Adoption of risk management  Establish and implement an Authorized Economic Operators Regulations) programme.  Participate in the EAC Authorized Economic Operator meetings. 99 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 2. Review of the  Customs to participate in the review of the EAC Compliance and Funds (Internal/External) Compliance and Enforcement Action Plan. Enforcement Action Plan. 18) Management of Duty remission and exemption regime The Customs law empowers the Council of Ministers to grant duty remission for manufacturers. The details are included in the Duty Remission Regulations. Applicants submit their requirements to the National duty remission committees for vetting and submission to the EAC Secretariat for final vetting and inclusion in the official gazette. Exemptions are covered under the Fifth Schedule to the EAC Customs Management Act and may be reviewed from time to time by the Council of Ministers EAC CU Provision Activities Implementation and Resource requirements 1. EAC Exemption  Customs Expert to participate in negotiations Funds (Internal/External) Regime and Duty  Submit all national exemption laws related to customs. Trainers (External) Remission provisions.  Carry out an assessment of the RSS Investment Act and other legislation in view to align these legal texts with the EAC Exemption and Duty Remission Regime.  Implement EAC Exemption and duty remission schemes  Training of officers. 19) Customs Integrity programme An EAC Customs Integrity Action Plan and a Customs Code of Conduct were developed to guide the Integrity programmes. The Instruments are based on WCO’s Revised Kyoto Convention and the Arusha Declaration on good governance and integrity in Customs. The purpose of these initiatives is to promote integrity and fight against corruption Implementation and Resource EAC CU Provision Activities requirements 1. EAC Code of Conduct  Implementation of the integrity plan. As above 100 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION 2. EAC Integrity Plan  Customs activities for implementation of the Code of Conduct and the Integrity Plan will be similar to the activities outlined elsewhere in this Roadmap. 7 ANNEX II: Roadmap for the Implementation of the EAC Common Market Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements PART C FREE MOVEMENT OF GOODS Article 6 Free Movement Of See the Implementation Roadmap for the Customs Union Protocol. Goods Article 6 Specific Implementation Requirements:  Customs 24-36 months Free Movement Of RSS will undertake: Goods 1. RSS will implement EAC 1. Institutional andregulatory  Bureau of Rules of Origin amendments of Customs regulation: Standards  Finalisation of system of certification, and accreditation of  Ministry of competent authorities Commerce,  Mandate to Customs to issue Ministry of Certificates of Origin. Transport, 2. Standards. The National 101 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Standards Act and the 2. RSS will:  Ministry of Metrology and Testing Act  Ratify the EAC Sanitary and Interior will be reviewed to be in Phytosanitary Measures (SPS) (Immigration) compliance with the EAC Protocol and Act. SQMT Protocol and Act.  Adopt EAC Standards  Participate in the development of EAC standards  Ongoing cooperation under the MOUs with Rwanda, Kenya, Uganda.  Undertake SQAM-related institutions and training. 3. Non tariff barriers. 3.1. RSS will eliminate 3 RSS will: NTBs in accordance 3.1 Operationalise the EAC mechanism on with the EAC Time the elimination of NTBs Bound Programme.  Create a National Monitoring Committee with a public and 3.2. Ratify the EAC private sector focal point Elimination of Non  Establish the Non Tariff Barriers 102 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Tariff Barriers Act Monitoring Mechanism 2015  Participate in the EAC Regional Forum on NTBS  Eliminate identified barriers in accordance with the time bound programme. 3.2 The implementation of the EAC Elimination of Non Tariff Barriers Act 2015 will require customs reform, regulatory reform and capacity building in particular in the areas of border administration and the enforcement of technical regulation. Article 7 Ministry of Labour Free Movement Of Draft South Sudan Schedules on Free Movement of Persons and Labour Ministry of EAC 24-36 months Persons Affairs 103 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Article 7 1. In implementing article 7 Specific Implementation Requirements:  Ministry of 24-36 months Free Movement Of and Annex I, of the CMP, RSS RSS will Passports and Persons will:  Adjust attendant immigration Immigration; procedure and administrative Interior;  facilitate the visa-free entry, guidelines to guarantee this freedom. and movement, of these This will include the below actions. categories of EAC citizens  Ministry of o Training of officials o Visitors Police o Amendment of border procedures o Medical visitors o No fee student passes o Transit visitors o Automatic 6 months stays for EAC o Students (education citizens and training) o Sensitisation of law enforcement o Persons entering the authorities and police on the RSS for any lawful nature of rights and protections purposed (other than guaranteed to partners state as workers or self- citizens employed persons). o Seek resources to implement all of  RSS will ensure non- the required procedural reform, discrimination against and facilitate the training of citizens of partner states resources. 104 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements RSS will mobilise additional resources to effect implementation of these commitments The following, which require additional resources and collaboration with partner states, will be implemented progressively:  Cooperation with respect to integrated border management  Increased resourcing and implementation of integrated border management systems  Extending border hours  Harmonised border management practices  Process to compensate for costs of processing visas for free Further regulations and practice notes will be issued to give effect to amended and updated practice. 105 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Article 8 As part of facilitating the Specific Implementation Requirements:  Ministry of 24-36 months Standard movement of persons and RSS will: Interior Identification labour, RSS will:  recognise the travel document that is (Department of System 1. Review Passports and used by partner state citizens; Passport and Immigration 2011  Act, facilitate the issuance of the EAC Immigration) Article 9 (exemption for EAC citizens); travel document to South Sudanese  Support from Travel Documents read together with citizens the Ministry of regulations, administrative  Amend the current computer system EAC Affairs practice) of identity documents or procure a new one that will be compliant with 2. As part of this, RSS will EAC requirements. specifically the  recognise Train staff in the usage of the common standard document new/amended system for ID. / EAC passport.  Train relevant civil servants and general public on the new layout of the documents.  Seek resources to implement the required procedural reform. RSS will mobilise additional resources 106 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements and engage in ongoing discussions with partner states, with a view to:  The use and recognition of machine- readable and electronic national identity cards  Consulting on the reciprocal easing of border crossings, and opening of border posts;  operational hours for the border posts; manning of border posts for twenty four hours; the necessary infrastructure and standards for border management; harmonisation of immigration procedures; and evaluation of the implementation of border management recommendations and programmes. Article 10 Refer also to Schedule for the Free Movement of Workers Free Movement Of 107 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Workers Article 10 1. RSS will review laws and Specific Implementation Requirements:  Ministry of Free Movement Of issue regulations and RSS will: Interior; Workers administrative procedures to  Strengthen institutions for the ensure non-discrimination of issuance of work permits to EAC  Ministry of workers from other Partner workers Labour, Public States, and their freedom to o Increase human resources to Service and be accompanied by spouses manage CMP-related immigration; Human and children. o Train, and issue performance Resource; indicators to, immigration and Social Security; 2. The following general laws labour officials. These will will be reviewed to cater for include, inter alia:  Ministry of EAC EAC workers: o Standards for processing Affairs;  Chapter 4 of the Passports times for work permits. and Immigration Act 2011 o Undertake a general sensitisation  Professional restrictions to cater for EAC and awareness programme Bodies in RSS focussed on, inter alia; 3. EAC workers will be entitled government officials, labour to the same rights accorded unions, employer organisations. 108 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements to RSS workers under the following South Sudan The following, which require additional labour laws. resources and collaboration with partner  South Sudan Employee states, will be implemented Justice Chamber Act, 2011 (if progressively: applicable)  Institutional infrastructure for the  Workers Trade Union recognition and accreditation of Federation Bill (for foreign qualifications; categories covered)  Fast-track, for the professions  Labour Bill listed in the schedule for the  Laws on the Occupational movement of workers, Health, and Social Security arrangements for admissions spectrum (for both RSS and exams and / or board membership PS workers) – with involvement of professional bodies. 4. RSS will, further, as part of  Fast-track National Council for discussions with partner Higher Education (NCHE), as part states, cooperate on of full implementation of Ministry harmonisation of these laws, of Higher Education, Science and and of overarching labour Technology (MoHEST) Policy 109 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements policy. Framework RSS will also mobilise additional resources and engage in ongoing discussions with partner states, with a view to:  Cooperating with partner states on ongoing joint programmes on young workers Article 11 1. RSS will review for Specific Implementation Requirements:  Ministry of 24-36 months Harmonisation And compliance and RSS will: Education; Mutual Recognition strengthening of regulatory  Have in place domestic processes Of Academic And framework: for the recognition of academic  Ministry of Professional  General Education Act 2011 qualifications (including Higher Qualifications  Higher Education Act 2012 qualifications authority); Education,  Examination Council Act  Fast-track, for the professions Science and 2011 listed in the schedule for the Technology;  Full implementation of movement of workers for, where MoHEST Policy Framework, required, arrangements for  Ministry of including: recognition and professional body Labour, Public 110 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements o establishment of registrations – with involvement Service and National Council for of professional bodies. Human Higher Education  Fast-track the NCHE Resources; and (NCHE);  Identify institutions that will be o Regulatory body for focal to effecting notification  Ministry of EAC professional quality Affairs assurance  Sectoral rules governing any  In collaboration of the categories covered by with RSS the schedule on the free professional movement of workers. 2. RSS will also mobilise additional bodies resources and engage in ongoing 2. RSS will enter into mutual discussions with partner states on:  Cooperation recognition agreements with  mutual recognition of with partner partner states - in academic and professional states collaboration with relevant qualifications professional bodies  harmonisation of curricula, examinations, standards, certification and accreditation of educational and training 111 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements institutions 3. Process is in motion for rules to accredit private and foreign tertiary institutions (MoHEST Policy Framework) 4. For standardisation, and in order to allow compliance with the accreditation requirements contained in the Higher Education Act and the MoHEST Policy Framework – would apply to both RSS suppliers and foreign suppliers Article 12 1. RSS will cooperate with RSS will engage in ongoing discussions  Ministry of 24-36 months Harmonisation Of partner states on with partner states on, assist the Labour, Public 112 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Labour Policies, harmonisation of labour Secretariat with information to facilitate Service and Laws And policies and national laws its work on harmonisation and Human Programmes and programmes. monitoring: Resources  compile a list of policies, laws and 2. The following policies will be programs to be harmonised to reviewed for harmonisation: facilitate the free movement of  Labour Policy labour.  Labour Bill, 2012  Participate in regional discussions for the harmonisation of national social security policies, laws and systems concerning self-employed persons.  Share information with the partner states and the Secretariat on matters pertaining to manpower surveys and monitoring of the regional labour market. PART E 113 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements RIGHTS OF ESTABLISHMENT AND RESIDENCE Article 13 1. RSS will, as part of the 1. Specific Implementation  Ministry of 24-36 months Right Of review of the Immigration Requirements: Interior; Establishment Act, 2011 and practice, to RSS will, in tandem with implementation give effect to the right of of laws and administrative procedures  Ministry of establishment. The giving effect to the movement of persons Lands, Housing, procedures will facilitate: and workers: and Physical  The issuance of residence Planning; permits to qualified workers  Strengthen institutions for the and self-employed persons issuance of residence and work  Ministry of from partner states permits to EAC workers Trade,  The issuance of dependant o Increase human resources to passes to spouses, children manage CMP-related immigration;  Ministry of EAC and dependants of the o Train, and issue performance Affairs above persons indicators to, immigration and  The issuance of issuance of labour officials. These will  Ministry of work/residence permits include, inter alia: Justice  The tracking the volumes of, o Standards for processing and processing timelines for, times for applications for applications. residence. 114 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements 2. RSS will remove RSS will mobilise additional resources to administrative and licensing effect implementation of these restrictions relating to trade commitments in services  The following general laws 2. RSS will also engage in ongoing will be reviewed, with a view discussions with partner states on: to issuing clarification or, if  cooperation on information exchange appropriate, practice notes: pertaining to the exercise of the right of o Investment establishment; Promotion Act  Collaboration on issues and discussions relating to the simplification of processes o Companies Act and procedures relating to licensing; o Land Act  Collaboration on discussions pertaining to the harmonisation of licensing and related fees;  sharing any other relevant information pertaining to the right of establishment. Specific Implementation Requirements: 115 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements  RSS will implement these obligations in accordance with, and in tandem with, the schedule on the movement of service  RSS will continue to monitor whether there remain any administrative restrictions on the right of establishment, with a view to: o removing them, where they exist; and compiling a list of them, where they exist, or the purpose of sharing such information with Council 116 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements  117 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Article 14 1. RSS will guarantee the right Specific Implementation Requirements:  Ministry of 24-36 months Right Of Residence of residence to Partner RSS will: Interior; States in accordance with  ensure the issuance of issue residence the requirements of Articles permits to partner state citizens  Ministry of 10 and 13. This includes the  have in place procedures and Lands, Housing, rights of residence their mechanisms for facilitating the and Physical spouses, children and renewal of residence permits, Planning; dependants.  have in place mechanisms for notifying Council of any limitations  Ministry of 2. RSS will, implement this Trade, article, and the RSS will mobilise additional resources to requirements of Annex IV in effect implementation of these  Ministry of EAC tandem with commitments Affairs implementation of immigration laws and  Ministry of administrative procedures Justice relating to the movement of workers and the right of 118 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements establishment. 3. RSS will review, for compliance, the content of the definition of “resident” in its immigration and nationality law, as well as in some of its general laws. Article 15 1. Access to, and use of land Specific Implementation Requirements:  Ministry of 24-36 months Access To And Use and premises in RSS is RSS will, in tandem with implementation Interior; Of Land And government by the of laws and administrative procedures Premises Constitution and by South giving effect to use of, and access to, land  Ministry of Sudan’s Land Policy. and premises in relation to residence and Lands, Housing, establishment: and Physical 2. A number of specific laws  Clarify procedures relating to access Planning; will be reviewed as part of: to leasehold land  facilitating access to land to  Procedure (grounds for, procedures,  Ministry of partner state nationals; and compensation; Chapter XII of the Trade,  ensuring the use and Land Act) 119 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements enjoyment of land by  Fast-track the finalisation of pending  Ministry of EAC partner state nationals and aspects of the Land Policy, including Affairs investors; and clarification of issues relating to land  rectifying substantive and tenure  Ministry of institutional discrepancies  Issue relevant directives for ensuring Justice relating to matters of land the use and enjoyment of land by use. partner state nationals and investors  South Sudan  Train officials in all the responsible Land The laws which will be ministries Commission reviewed include:  Consult with communities o The Land Act, o Licensing and land RSS will mobilise additional resources to use laws. effect implementation of these o The Investment Act commitments (2009), and the investment incentives regime. o A Community Land Act, which is currently under 120 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements consideration. PART F FREE MOVEMENT OF SERVICES Article 16 Free Movement Of Refer also to Schedule for the Free Movement of Services Services Article 16 1. RSS will review and amend Specific Implementation Requirements:  Ministry of EAC 24-36 months Free Movement Of the law and facilitate all As part this, RSS will undertake the Affairs Services modes of supply of services, following: as per schedule of  review all sectoral laws relating to the  Various line commitments. liberalised sectors, and will, during ministries the implementation period adjust 2. As part of compliance, laws and regulations which are  State provisions in the following considered to be discriminatory authorities general laws will be reviewed  sensitise authorities in the states, and  In collaboration - Investment Act their representatives of RSS’s with - Companies Act obligations and commitments in the professional area of the free movement of services bodies 121 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements 3. RSS will review sectoral laws covering the scheduled  throughout the implementation period, commitments to ensure that the progress of activities at all levels of government is in keeping with 4. In the case of all of the the timelines set in the scheduled elimination dates above laws, the RSS will progressively remove  where necessary, undertake training existing restrictions and, of government officials (national, (save for prudential, public state, and local) from the line policy, and other permissible ministries responsible for the sectors measures) shall not covered introduce new restrictions in the sectors covered in its  RSS is in the process of aligning its schedule of commitments. provisions in relevant general laws with its commitments in the area of trade in services  RSS is, in collaboration with sectoral line ministries, in the process of 122 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements aligning provisions in relevant sectoral laws with its commitments in the area of trade and services RSS will mobilise additional resources to effect implementation of these commitments RSS will also engage in ongoing discussions with partner states on:  Extending commitments to the remaining five broad services categories  Deepening commitments in the current seven categories  Reformulating Mode 4 commitments, and part of delinking Annexes V and II Articles 17 and 18 1. As per its scheduled  All the actions above, will apply to  Ministry of EAC 24-36 months National Treatment commitments, RSS will commitments here Affairs 123 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements accord to services and Most Favoured service suppliers of partner  Various line Nation Treatment states, treatment not less ministries favourable than that accorded to similar RSS  State services and service authorities suppliers 2. As per its scheduled commitments, RSS will apply its market access commitments, and the most favoured nation principle is applicable to trade in services. 3. In the case of all of the laws reviewed under article 16 will be aimed at removing any discriminatory 124 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements tendencies in the treatment of services and service suppliers, is already in process 4. In all the sectors liberalised, RSS will accord no less favourable treatment to service providers from partner states. Where limitations exist, they will be scheduled, and legally justifiable. Article 19 1. After accession RSS will Specific Implementation Requirements:  Ministry of EAC 24-36 months Notification promptly notify Council of  RSS will continuously monitor its Affairs any restrictive measures, as measures affecting trade in required by article 19 services, and those taken by state  In collaboration authorities. with various line ministries  The various line ministries 125 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements national government level, and the states’ and local governments, will work jointly to identify any measures which might be restrictive to trade in services  The Ministry will be the focal point for responsible for Trade and EAC Affairs requiring notification RSS will mobilise additional resources to implement these commitments Articles 20 - 22 1. RSS will maintain  All the actions above, will apply to  Ministry of EAC 24-36 months Domestic appropriate disciplines on commitments here Affairs Regulation domestic regulation, in the various sectors, in  Ministry of General Exceptions accordance with obligations Justice To Trade In Services undertaken  In collaboration 126 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Security Exceptions 2. RSS administrative with various on Trade in Services authorities will monitor the line ministries enjoyment of the right and impose restrictions in accordance with the protocol when need arises. Article 23 1. RSS will implement its Specific Implementation Requirements  Ministry of East 24-36 months Implementation Of commitments, as per See above, in relation to article 16. African Affairs The Free Movement schedule for the free Of Services movement of services With respect to MRAs, RSS will:  Ministry of  develop a programme to prepare the Labour, Public 2. RSS will also participate in RSS government and sector to Service and the further negotiations with participate in MRAs Human partner states to deepen  Conduct domestic consultations to: Resource; and widen commitments in o Develop indicators and Social Security; trade in services benchmarks and prepare for participation in MRA  Ministry of 3. RSS will also participate, discussion Higher with partner states in o Ascertain the present joint Education, developing Mutual capacity needs of industry of Science and 127 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Recognition Agreements government Technology; (MRAs) in professional o Create structures for industry services. and professional bodies’  Various line involvement. Where no such ministries; bodies are fully established, a forum for soliciting input from  The private industry, and the capacity of sector authorities (industry) and o Develop a list of, in professional collaboration with industry, of bodies; professional sectors, with timelines in  The National (progressive), which MRAs will be concluded Council For Higher  A number of actions will be Education undertaken in order to enable RSS to (NCHE) effect the MRAs: o The creation of institutional infrastructure for the recognition and accreditation 128 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements of foreign professional and academic, and other qualifications. This will include: o The establishment, and staffing of a Professional and Qualifications Authority; o Seeking to fast-track the finalisation of the National Council For Higher Education, whose work will be linked to the commitments under the schedule on the movement of workers.  RSS will engage with the competent authorities of other partner states to rationalise benchmarks for recognition of foreign and EAC qualifications  RSS will streamline processes for the 129 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements professional services sectors and worker categories liberalised  RSS will designate competent authorities that can enter into MRAs in order to facilitate the free movement of professionals across the EAC RSS will mobilise additional resources to effect implementation of these commitments RSS will also engage in ongoing discussions with partner states and professional bodies on:  Extending commitments to the remaining five broad services categories  Mutual Recognition Agreements (MRAs) Article 24 Elimination Of 130 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Restrictions On The Free Movement Of Capital Articles 24-28 1. RSS does not impose  Amendments to any laws and  Ministry of 24-36 months significant restrictions to the administrative practices will be Finance, after Accession movement of capital. Where progressive, as per the to the EAC. restrictions exist, these will timeframes set in the schedule on  Central Bank be eliminated as per the the removal restrictions. schedule on the free  Ministry Of movement of capital.  A committee comprising the Justice relevant institutions, and 2. For compliance, the ministries will: following laws have been o Monitor the implementation reviewed, and will be of the schedule reviewed further to ensure o And provide guidance on any the commitments reflected matters concerning the in the schedule of implementation of this article commitments: and Annex VI of the Common  Bank of South Sudan Act, Market Protocol. 2011 131 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements  Banking Act, 2012  Progressive Anti-Money Laundering, 2012  Counter-Terrorism Financing Act, 2012; and  The Foreign Exchange Business Act, 2012  Relevant sections of the Constitution (will be part of all overarching amendments to bring it in line with EAC accession. PART H: OTHER AREAS OF CO-OPERATION IN THE COMMON MARKET Article 29 1. The Constitution, IPA 2009, Specific Implementation Requirements:  Ministry of 24-36 months Protection of cross and membership of ICSID (2012) Train judiciary. Justice. after Accession provide for the rights under to the EAC. border investments Article 29. Article 32 1. The EAC Double Taxation Specific Implementation Requirements:  Ministry of 24-36 months Harmonisation of Avoidance Agreement 2010 RSS will: Finance after Accession will be adopted. to the EAC. 132 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements Tax Policies and  The Taxation Act 1. Undertake a study to assess Laws (Amendment No2) elimination modalities and  Ministry of Provisional Order 2012 institutional needs. The study will provide the basis for resource Trade will be amended to give effect to the Agreement. mobilisation. Article 33  Tax information 2. Cooperate with the EAC Fiscal  Ministry of Prohibited subsidies Exchange Agreements Affairs and the EAC Framework for Foreign and Mutual Agreement Fiscal Affairs Committee. A study Affairs. procedures with Partner will be undertaken to assess States. harmonisation with other Partner 2. The incentives offered in the States of the PIT and CIT systems  Ministry of Investment Promotion Act (capital allowance and tax Justice. 2009 will be reviewed to incentive), tax procedures codes, approximate the EAC Model and alignment of SME tax Investment Code 2006. regimes. This study will form the 3. The Taxation Act basis for participation in the EAC (Amendment no 2) tax harmonisation programmes. Provisional Order 2012 will 3. Given South Sudan is at an early be reviewed to promote stage with developing its tax greater harmonisation of system, and is currently operating producers and application of a simplified sales tax, cooperation indirect taxes. will initially focus on excise tax. Article 33 South Sudan’s Unfair Specific Implementation Requirements:  Ministry of 24-36 months Prohibited Business Competition Bill and RSS will: Justice after Accession Consumer Protection Act  Regulatory review of the to the EAC. Practices 133 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements 2011 will be reviewed to Competition Bill and develop Article 36 ensure its compliance with secondary implementing the EAC Competition Act regulation. Consumer 2006 and Policy.  Establish a Competition Protection Commission.  Establish and build the capacity of an investigative unit.  Train judiciary in addressing competition and consumer protection issues Article 37 1) RSS will adopt the East Specific Implementation Requirements:  Ministry of 24-36 months Coordination of African Trade Negotiations RSS will: Commerce after Accession Act 2008. to the EAC. Trade Relations  Establish a National Trade 2) RSS will accede and Negotiations Committee and  Ministry of implement nominate two members, one of each Foreign gender, to the EAC Joint Trade Affairs.  The agreements between Negotiations Commission. the EAC and the USA o Training will be provided to  The Tripartite Free Trade build the capacity of the Agreement national committee to develop  The EAC – EU Economic national positions. Partnership Agreement.  Studies will be undertaken to identify 3) RSS will continue with its how RSS can benefit most from efforts to accede to the accession to the TFTA and the EAC – 134 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Responsibility Common Market Regulatory Harmonization Implementation and Resource Pre- Implementation and Support Protocol Provisions Requirements requisites Target Requirements WTO. EU EPA. This will form the basis for Aid for Trade for implementation  RSS will seek the support of EAC Partner States in its ongoing efforts to accede to the WTO. Article 43 1. Regulation of IPR is under Specific Implementation Requirements:  Ministry of 24-36 months Cooperation in development. RSS will: Justice after Accession  Provide protection on counterfeiting to the EAC. Intellectual 2. The Investment Protection through its customs development Property Rights Act 2009 makes provision for programme.  Customs the protection of intellectual The EAC Regional Intellectual property rights. An Property Rights Policy on the  Ministry of implementing mechanism utilisation of Public Health related to and regulation is needed to Commerce. WTO-TRIPS Flexibilities will be of give effect to the rights given relevance to South Sudan on in the Article. Accession to the WTO. 8 ANNEX III: Roadmap for implementation of EAC Monetary Union Protocol No Activity Implementation and Resource Pre-requisites Timeline 1 Implementation of the Customs Union and the As outlined in the Implementation Roadmaps for the Customs As per the CUP Common Market Protocol Union (CUP) and Common Market (CMP) Protocols. and CMP 135 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Implementation Road-maps. 2 Establishment of the East African Monetary South Sudan shall participate in the establishment of the EAMI. As above Institute (EAMI) 3 Establishment of the following institutions South Sudan shall participate in the establishment of the relevant As above a) Institutions responsible for surveillance, institutions. compliance and enforcement b) Institution responsible for statistics c) Institutions responsible for financial services 4 Coordination and Harmonization of Fiscal Polices South Sudan shall coordinate and harmonize its Fiscal Policy as As above outlined in the MU Protocol: a) Harmonize and co-ordinate the fiscal policies to maintain in particular:  a ceiling on fiscal deficit, including grants of 3% of GDP  a ceiling on gross public debt of 50% of GDP in NPV terms; and  a reserve cover of 4.5 months of imports. b) Disclose fiscal policy to other Partner States; c) Co-ordinate its fiscal policy with the single monetary policy and exchange rate policy; d) Harmonize and coordinate its budget framework; e) Coordinate and harmonies its public procurement policies; f) Implement its economic policy to achieve and maintain macroeconomic convergence; g) Adopt and adhere to the principles of fiscal discipline; h) Avoid harmful tax competition; i) Disclose its aid flows to the East African Central Bank; and j) Ensure efficient mobilization and allocation of resources. 5 Coordination and Harmonization of Monetary and GRSS shall commission a study which will devise a detailed work As above 136 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Exchange rate policies during the transition to plan for Coordination and Harmonization of Monetary and Monetary Union. Exchange rate policies during the transition to Monetary Union. The study shall provide a detailed master plan and outline of key activities and structures necessary for South Sudan to attain coordination and harmonization of Monetary and Exchange rate policies within the timeline outlined in the MU Protocol. The aim of the study is to: (i) Describe the operational frameworks for Common Monetary and Exchange rate policy in South Sudan, and (ii) Propose the optimal set of harmonised instruments and procedures which best suit the adopted monetary and exchange rate policy in South Sudan. The study shall consider, among others, the following issues: harmonization of liquidity management, framework for common exchange rate management and interventions, reserve requirements, and open market operations etc. 6 Harmonize payments and settlement systems RSS shall cooperate with Partner States to develop and implement As above a) Develop a payment and settlement system a secure, efficient, reliable and integrate payment and settlement framework for harmonization and integration of system. In particular, RSS shall: payment and settlement system infrastructure.  Adopt and integrate trading and securities depository system; b) Create a framework for integration of trading and and securities depository and payments and  Harmonize and integrate the payment and settlement system settlement system and other financial sector systems/infrastructure. 7 Harmonise policies, standards and laws relating to South Sudan shall participate in EAC activities aimed to Harmonise As above production, analysis and dissemination of statistical policies, standards and laws relating to production analysis and information dissemination of statistical information in line with the Schedule a) Develop a framework for production, analysis outlined in the Monetary Union Protocol. Further details regarding and dissemination of statistical information the work are outlined in the Implementation Roadmap for b) Develop national statistical systems while National Bureau of Statistics. 137 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION observing the requirements of the EAC statistical system and internationally accepted best practice; and c) Harmonize statistical methods, concepts, definitions and classifications for compiling statistics while observing internationally accepted best practice. 10 Phase out any outstanding central bank lending to South Sudan shall prepare a timetable for progressive phasing out As above public entities. of overdraft facilities and will co-operate with Partner States to a) Prepare a timetable for progressive phasing out establish a liquidity management mechanism within the EAC of overdraft facilities. Monetary Union framework. b) Establish a mechanism to bridge temporary This is to be handled concurrently with other provisions such as liquidity gaps. adoption of macroeconomic standards such as debt to GDP ratio and limitations on deficit spending. 11 Attainment of macroeconomic convergence South Sudan shall cooperate with Partner States in developing a As above criteria: framework for monitoring compliance with macroeconomic a) Develop a framework for monitoring convergence criteria and design a medium-term convergence compliance with macroeconomic convergence programme in line with the implementation timeframe outlined in criteria. the Monetary Union Protocol. b) Each Partner State to design a medium term convergence programme. 12 Strict adherence and maintenance of the South Sudan shall adhere and maintain the Macroeconomic As above Macroeconomic Convergence: Convergence. a) Monitoring consistent compliance with Macroeconomic Convergence criteria. 13 Establishment of East African Community South Sudan shall participate and make its contribution for the As above Stabilization Facility. establishment of the East African Community Stabilization Facility. 14 Design and implement a common exchange rate South Sudan shall participate in the development and As above mechanism. South Sudan shall participate in the Implementation of a Common Exchange Rate Mechanism. development and Implementation of a Common 138 SOUTH SUDAN’S NATIONAL POLICY STRATEGY ON EAC IMPLEMENTATION Exchange Rate Mechanism: a) Design a Common Exchange Rate Policy b) Implement a convergence phase during which the Partner State shall implement managed float exchange rate regimes c) Implement a phase of conversion of the exchange rates during which the council shall irrevocably fix the exchange rates among the Partner States d) Convert Partner States’ currencies to a single currency on a date to be announced that shall not be more than six months from the date of irrevocable fixing of the exchange rates. 15 Determination of Conversion Rates and design of a South Sudan shall participate in the determination of Conversion As above single currency. South Sudan shall develop legal Rates and design of a single currency instrument to irrevocably fix: a) The exchange rates among currencies of the Partner States; and b) The conversion rates at which the single currency will replace the currencies of the Partner States. DISCLAIMER: This publication was produced with the financial support of the European Union. Its contents are the sole responsibility of the author - Tomasz Iwanow - and do not necessarily reflect the views of the European Union. 139