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Analysis of the Impact of Bureaucratic Corruption on Intra-EAC Trade in Agricultural
Commodities as Mediated by Traditional Gravity Variables
Author: Nyambeki Matoke Sylvia (Kisii University), Co Authors : Dr.Stella Omari
(Kisii University) Dr.Peter Kabuka (Garissa University)
Available evidence indicates that given the development and factor endowments, Intra-African
trade has enormous potential to create employment, catalyze investment and foster growth.
Despite these widely publicized advantages and the consistent efforts of African governments to
exploit and fast track the potentials of intra-regional trade, the trade remains unsatisfactory
accounting for only 2.2 percent of total global value chains while, sub-Saharan Africa accounts
for only US$60 billion in foreign direct investment (FDI). This study anchoring its arguments on
empirical literature, Secondary data from Global Competitiveness Report (GCR) survey based
index of corruption and the United Nations Trade and Development trade Database (TRAINS),
Dutt and Traca (2007) three stage model and Anderson and van Wincoop (2003) augmented
augmented gravity model examines how the regional integration impediments in East Africa
influence economic outcomes. Given these limitations, the following analysis offers a starting
point for policymakers to assess their countries’ participation and policy options on ways to
increase intra-regional engagements with overall positive outcomes for society.
Key Words: Corruption, Intra-regional Trade, East Africa Community
Contact :nyambekimatoke@gmail.com

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abstract

  • 1. Analysis of the Impact of Bureaucratic Corruption on Intra-EAC Trade in Agricultural Commodities as Mediated by Traditional Gravity Variables Author: Nyambeki Matoke Sylvia (Kisii University), Co Authors : Dr.Stella Omari (Kisii University) Dr.Peter Kabuka (Garissa University) Available evidence indicates that given the development and factor endowments, Intra-African trade has enormous potential to create employment, catalyze investment and foster growth. Despite these widely publicized advantages and the consistent efforts of African governments to exploit and fast track the potentials of intra-regional trade, the trade remains unsatisfactory accounting for only 2.2 percent of total global value chains while, sub-Saharan Africa accounts for only US$60 billion in foreign direct investment (FDI). This study anchoring its arguments on empirical literature, Secondary data from Global Competitiveness Report (GCR) survey based index of corruption and the United Nations Trade and Development trade Database (TRAINS), Dutt and Traca (2007) three stage model and Anderson and van Wincoop (2003) augmented augmented gravity model examines how the regional integration impediments in East Africa influence economic outcomes. Given these limitations, the following analysis offers a starting point for policymakers to assess their countries’ participation and policy options on ways to increase intra-regional engagements with overall positive outcomes for society. Key Words: Corruption, Intra-regional Trade, East Africa Community Contact :nyambekimatoke@gmail.com