Editor's Review

By KPC Reporter The East African Community (EAC) recorded a strong trade performance in the first quarter of 2026, with exports outpacing imports and driving the regional trade surplus to US$1.6 billion. According to the latest EAC Quarterly Statistics Bulletin released by the EAC Secretariat in Arusha, Tanzania, total trade rose by 30.7 percent to […]

By KPC Reporter

The East African Community (EAC) recorded a strong trade performance in the first quarter of 2026, with exports outpacing imports and driving the regional trade surplus to US$1.6 billion.

According to the latest EAC Quarterly Statistics Bulletin released by the EAC Secretariat in Arusha, Tanzania, total trade rose by 30.7 percent to US$46.3 billion between January and March 2026, up from US$35.4 billion recorded during the same period in 2025.

Export earnings increased by 33.3 percent to US$24 billion, while imports grew by 28.1 percent to US$22.4 billion, resulting in a significant expansion of the region’s trade surplus from US$600 million a year earlier to US$1.6 billion.

“The EAC posted a strong trade performance in the first quarter of 2026, with total trade rising to US$46.3 billion as the region sustained robust growth in International Merchandise Trade,” the Secretariat said in a statement issued on Wednesday.

Africa remained the bloc’s largest trading partner, accounting for 24.1 percent of total trade. Trade with African countries grew by 17.8 percent to US$11.2 billion, while trade with the Southern African Development Community (SADC) increased by 17.4 percent to US$7 billion.

China retained its position as the EAC’s leading individual trading partner, driven by strong demand for the region’s mineral exports and increased imports of manufactured and industrial goods. Other major trading partners included the United Arab Emirates, South Africa, India and Japan.

The bulletin attributed the strong export performance to continued demand for mineral commodities, particularly copper and precious metals, as well as agricultural exports such as coffee and tea.

“The EAC exports continued to be concentrated in mineral commodities, particularly copper and precious metals, while agricultural products such as coffee, tea and other key commodities remained important contributors to export earnings,” the report noted.

On the import side, petroleum products, machinery, transport equipment and industrial supplies remained key drivers of economic activity and infrastructure development across the region.

The report also pointed to easing inflationary pressures despite a slight increase in March. Annual headline inflation stood at 10.6 percent in March 2026, compared to 9.2 percent in February, but remained significantly lower than the 27 percent recorded in March 2025.

Core inflation, which excludes food and energy prices, stood at 6.2 percent in March, while food inflation was recorded at 10.7 percent.

Meanwhile, monetary indicators showed continued economic expansion. Broad money supply (M3) grew by 16.4 percent year-on-year to reach US$102.5 billion, supported by a 14 percent increase in private sector credit to US$72.4 billion.

“The EAC’s trade outcomes in the first quarter of 2026 reflect a resilient and steadily improving regional economy, with stronger export growth, a widening trade surplus and sustained continental trade ties,” the Secretariat said.

The EAC Quarterly Statistics Bulletin is compiled by the EAC Secretariat in collaboration with national statistics offices and central banks of partner states and provides harmonized data on trade, inflation, money supply and other key economic indicators across the region.