Kenyan manufacturers have sounded an alarm over the growing instability in neighbouring countries, warning that the ongoing unrest in Tanzania could severely affect Kenya’s economy and lead to widespread job losses.
The Kenya Association of Manufacturers (KAM) Chief Executive Officer, Tobias Alando, speaking during an interview on NTV on Tuesday, expressed concern that the current disruptions in Tanzania—particularly the recent internet shutdown during elections—pose a serious threat to the entire East African region’s economic stability.
Alando explained that the blackout in Tanzania had far-reaching consequences, especially for the telecommunications industry. It affected traders, logistics operators, SMS communication systems, and even fuel stations, resulting in major disruptions to essential services and widespread economic losses.
He emphasized that regional peace and security remain vital for business growth, warning that the ongoing tensions in Tanzania and Sudan are now interfering with trade routes, transport systems, and supply chains.
According to Alando, if the situation is not addressed urgently, it could destabilize the broader regional economy, affecting millions who depend on cross-border trade for survival.
On behalf of local manufacturers, Alando urged leaders of the African Union (AU) and the East African Community (EAC) to intervene quickly to restore calm and engage citizens in resolving grievances before the crisis escalates further.
He stressed that inaction could lead to devastating consequences for both investors and workers.
Alando further noted that such instability damages investor confidence and could reverse the progress made in regional integration.
He highlighted that manufacturers and exporters depend heavily on the smooth flow of goods, communication, and data across East African borders. Interruptions in these systems, he said, not only slow down business operations but also discourage future investment.
“Leaders within the East African Community and across Africa must understand that leadership comes with responsibility,” Alando said. “They should remember that even after leaving office, they can still be held accountable for the decisions they make today. Holding power should never mean acting without consequences.”
Kenya and Tanzania share a long history of trade partnerships across different sectors. Kenyan traders import large volumes of maize, onions, tomatoes, and other agricultural products from Tanzania. The close relationship has made stability between the two nations essential for ensuring affordable food supply and regional growth.
However, trade data shows that business exchanges between the two countries have been fluctuating in recent years. In 2024, Kenya’s exports to Tanzania stood at Ksh67.20 billion, while imports reached Ksh58.72 billion.
This narrowed Kenya’s trade surplus with Tanzania by Ksh8.48 billion compared to previous years, signaling potential stress in cross-border economic activities.
According to reports from the United Kingdom’s Foreign, Commonwealth and Development Office (FCDO), Tanzania is currently facing shortages of essential goods such as food, fuel, and cash following widespread protests that broke out after the country’s general elections last week.
Despite a visibly low voter turnout, the Tanzanian Electoral Commission announced that incumbent President Samia Suluhu Hassan had won re-election by a huge margin, claiming 98 per cent of the votes — about 31.9 million out of 32 million ballots cast.
The commission also stated that voter turnout was nearly 87 per cent, a figure that opposition leaders and several election observers have dismissed as inaccurate.
President Samia was officially sworn in on Monday in Dodoma. During the ceremony, she and other Tanzanian officials blamed the post-election chaos on foreigners, alleging that individuals from neighbouring countries had crossed into Tanzania to fuel the unrest.
Reports have also emerged that some Kenyans from the Lunga Lunga and Namanga border towns attempted to cross into Tanzania to express solidarity with protesters, prompting tighter border security from both nations.
Kenyan manufacturers fear that if the instability persists, it could severely affect cross-border trade, disrupt manufacturing operations, and result in mass job losses, especially in sectors that depend on Tanzanian imports.
They are now calling on regional leaders to prioritize peace, dialogue, and economic cooperation to prevent the situation from spiraling into a larger regional crisis.
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