Kenya has initiated diplomatic engagements with Tanzania over its new business licensing regime, which prohibits non-citizens from trading in fifteen key services, a move Nairobi says threatens regional trade integration and “criminalizes lawful investments.” President William Ruto, in his capacity as Chairperson of the East African Community (EAC), has directly engaged Tanzanian President Samia Suluhu Hassan to address the dispute.

• Kenya will table its concerns at a Joint Trade Committee meeting scheduled for August 11–12.
• Tanzania’s new order restricts ownership and operation of micro and small industries for non-citizens, with heavy penalties for violations.
• The EAC remains Kenya’s largest export market, accounting for 28.1 percent of total exports valued at Sh297 billion in 2024.