YEAR IN REVIEW: When Rwanda border opening brought relief to local businesses

Movements resumed at Gatuna border in 2022, ending a 3-year-long diplomatic impasse between Rwanda and Uganda.

The Rwandan government had shut down the Gatuna Border in 2019, citing harassments of its nationals by Ugandan officials. Kigali had also accused the Ugandan Government of instigating dissidence within Rwanda and encouraging those allegedly trying to usurp power from President Paul Kagame.

The border closure took a serious economic toll on both countries especially citizens living on either side. Up until the border closure, Uganda was exporting much of its goods to its neighbour and earning as much as $200 million per annum. However, following the border closure, Uganda’s exports to Rwanda dropped to a paltry $2 million as of 2020.

The re-opening which came as a reprieve for border communities and firms whose key revenue and business source was cross-border traffic, including bus companies and informal cross border traders has since allowed trade to resume between the neighbours.  The border communities witnessed a cut cost of goods prices of basic commodities after the resumption of trade.

Rwanda and Uganda have been working on reviving relations since early this year, with official visits to each other countries, including President Paul Kagame’s visit to Kampala in April and Yoweri Museveni’s trip to Kigali in June during the Commonwealth summit.

Previous talks between Kagame and Museveni, mediated by leaders of Angola and the Democratic Republic of the Congo, had proven unsuccessful in resolving the standoff.

A breakthrough is said to have been achieved after Museveni sent his son Gen. Muhoozi Kainerugaba, to meet Kagame.

The Gatuna-Katuna border reopening was commended by the EAC Secretariat.

EAC Secretary General, Dr. Peter Mathuki termed the move as a boost to regional integration, noting that strengthening bilateral ties between the two EAC Partner States would revitalize social, economic and political relations.

“Re-opening this strategic trade route is in line with the provisions of the EAC Common Market Protocol and is set to accelerate economic and social development of the Partner States by reviving the free movement of goods, persons, capital and labour,” said Dr. Mathuki.

Dr. Mathuki said that the re-opening of the border would also promote peace and security across the region.

“The move is a reflection of the deep commitment and existing goodwill among the EAC Heads of State to widen and deepen cooperation in the bloc, particularly as the Community expands with the anticipated entry of the Democratic Republic of Congo,” he said.

He further said that the Community was committed to supporting initiatives that promote regional integration within East Africa.

“The Secretariat is ready to provide any technical support that may be required to ensure sustainability on the movement of goods and services across all the borders,” said Dr. Mathuki.