PUBLISHED ONJune 09, 2026 1:15 PMBYSean LerSingapore will commence negotiations on a Free Trade Agreement (FTA) with the eight-member East African Community (EAC) — the bloc's first with a partner outside of Africa.
Welcoming the move, President Tharman Shanmugaratnam, currently on a three-day visit to Tanzania till June 10, described this as a "significant step".
"It connects Singapore not only with Tanzania, but also with the seven partner states in the EAC.
"It will be Singapore's first FTA negotiation with an African partner, and the EAC's first with a partner outside of Africa," said President Tharman at the joint press conference with Tanzania President Samia Suluhu Hassan on Tuesday (June 9).
Apart from Tanzania, the other seven member countries of the EAC are: Burundi, the Democratic Republic of Congo, Kenya, Rwanda, Somalia, South Sudan and Uganda.
Given the current geopolitical tensions, President Tharman said the FTA would allow both Singapore and the EAC to diversify their trade networks, while opening up newer areas of growth, such as in the digital economy.
He also noted that such an FTA would improve market access and the flow of goods and services between Singapore and the EAC.
In addition, Singapore could also provide East African exporters with a gateway to the larger Asean market.
President Tharman's state visit, at the invitation of President Hassan, is the first visit by a Singapore president, and comes as the two countries mark the 45th anniversary of diplomatic relations.
In his remarks at the joint press conference, President Tharman said it is timely for the two countries to "inject fresh momentum" into their bilateral relations, and explore new areas for practical cooperation.
Apart from geopolitical tensions, he pointed out that international norms and cooperation, and trade are supply chains are also under strain, while climate pressures are intensifying.
"For both our countries, climate change is not an abstract concern. Singapore is a low-lying island state. Tanzania faces pressures on its agriculture, water resources, coastlines, and natural heritage," President Tharman said.
To this end, he welcomed the signing of a memorandum of understanding (MOU) between the two countries to collaborate on carbon markets.
Under the agreement, the two countries will exchange information, knowledge and best practices on carbon market frameworks and mitigation projects.
Singapore and Tanzania will also work together to jointly identify potential mitigation projects, which President Tharman said has the potential to help mobilise finance for conservation, clean energy, and sustainable livelihoods.
The two countries also inked an Avoidance of Double Taxation Agreement which sets out the taxing rights of both countries on income arising from cross-border business activities.
By addressing the double taxation of such income, businesses will have greater certainty, making it easier for them to invest for the long term, President Tharman said.
A third area of new cooperation between the two countries is skills development.
Under the MOU, Singapore will help to develop skills of senior Tanzanian civil servants in leadership and governance, civil aviation, smart mobility, port management, food safety and security, and water management.
President Tharman also witnessed the exchange of MOUs on industry and trade cooperation, and bilateral consultations.
He will be visiting the semi-autonomous region of Zanzibar, where he will meet with its president Dr Hussein Ali Mwinyi on Wednesday.
[[nid:737084]]