(f) the promotion of co-operation among the National Assemblies of the Partner States and also with the Assembly.
5. The Council shall determine when the provisions of paragraphs 2, 3 and 4 of this Article shall become operative and shall prescribe in detail how the provisions of this Article shall be implemented.
6. The Summit shall initiate the process towards the establishment of a Political Federation of the Partner States by directing the Council to undertake the process.
7. For purposes of paragraph 6 of this Article, the Summit may order a study to be first undertaken by the Council.
Article 124. Regional Peace and Security
1. The Partner States agree that peace and security are pre-requisites to social and economic development within the Community and vital to the achievement of the objectives of the Community. In this regard, the Partner States agree to foster and maintain an atmosphere that is conducive to peace and security through co-operation and consultations on issues pertaining to peace and security of the Partner States with a view to prevention, better management and resolution of disputes and conflicts between them.
2. The Partner States undertake to promote and maintain good neighbourliness as a basis for promoting peace and security within the Community.
3. The Partner States shall evolve and establish regional disaster management mechanisms which shall harmonise training operations, technical co-operation and support in this area.
4. The Partner States undertake to establish common mechanisms for the management of refugees.
5. The Partner States agree to enhance co-operation in the handling of cross border crime, provision of mutual assistance in criminal matters including the arrest and repatriation of fugitive offenders and the exchange of information on national mechanisms for combating criminal activities. To this end the Partner States undertake to adopt the following measures for maintaining and promoting security in their territories to:
(a) enhance the exchange of criminal intelligence and other security information between the Partner States’ central criminal intelligence information centres;
(b) enhance joint operations such as hot pursuit of criminals and joint patrols to promote border security;
(c) establish common communication facilities for border security;
(d) adopt the United Nations model law on mutual assistance on criminal matters;
(e) conclude a Protocol on Combating Illicit Drug Trafficking;
(f) enhance the exchange of visits by security authorities;
(g) exchange training programmes for security personnel; and
(h) establish common mechanisms for the management of refugees.
6. The Partner States undertake to co-operate in reviewing the region’s security particularly on the threat of terrorism and formulate security measures to combat terrorism.
Article 125. Defence
1. In order to promote the achievement of the objectives of the Community as set out in Article 5 of this Treaty particularly with respect to the promotion of peace, security and stability within, and good neighbourliness among the Partner States, and in accordance with Article 124 of this Treaty, the Partner States agree to closely co-operate in defence affairs.
2. For purposes of paragraph 1 of this Article, the Partner States agree to establish a framework for co-operation.
Chapter Twenty Four. Legal and Judicial Affairs
Article 126. Scope of Co-operation
1. In order to promote the achievement of the objectives of the Community as set out in Article 5 of this Treaty, the Partner States shall take steps to harmonise their legal training and certification; and shall encourage the standardisation of the judgements of courts within the Community.
2. For purposes of paragraph 1 of this Article, the Partner States shall through their appropriate national institutions take all necessary steps to:
(a) establish a common syllabus for the training of lawyers and a common standard to be attained in examinations in order to qualify and to be licensed to practice as an advocate in their respective superior courts;
(b) harmonise all their national laws appertaining to the Community; and
(c) revive the publication of the East African Law Reports or publish similar law reports and such law journals as will promote the exchange of legal and judicial knowledge and enhance the approximation and harmonisation of legal learning and the standardisation of judgements of courts within the Community.
3. For purposes of paragraph 1 of this Article, the Partner States may take such other additional steps as the Council may determine.
Chapter Twenty Five. The Private Sector and the Civil Society
Article 127. Creation of an Enabling Environment for the Private Sector and the Civil Society
1. The Partner States agree to provide an enabling environment for the private sector and the civil society to take full advantage of the Community. To this end, the Partner States undertake to formulate a strategy for the development of the private sector and to:
(a) promote a continuous dialogue with the private sector and civil society at the national level and at that of the Community to help create an improved business environment for the implementation of agreed decisions in all economic sectors; and
(b) provide opportunities for entrepreneurs to participate actively in improving the policies and activities of the institutions of the Community that affect them so as to increase their confidence in policy reforms and raise the productivity and lower the costs of the entrepreneurs.
2. For purposes of paragraph 1 of this Article, the Partner States undertake to:
(a) improve the business environment through the promotion of conducive investment codes, the protection of property rights and other rights and the proper regulation of the private sector;
(b) stimulate market development through infrastructural linkages and the removal of barriers and constraints to market development and production;
(c) regularly provide up-to-date commercial intelligence to speed up market response through co-operation among the chambers of commerce and industry and other similar organisations of the Partner States;
(d) facilitate and support the exchange of experience and the pooling of resources through, inter alia, cross-border investments;
(e) strengthen the role of their national business organisations or associations in the formulation of their economic policies; and
(f) collaborate with their national chambers of commerce and industry to establish lending institutions that shall primarily cater for the private sector especially the small-scale entrepreneurs who find it difficult to obtain credit from commercial banks and financing institutions.
3. The Partner States agree to promote enabling environment for the participation of civil society in the development activities within the Community.
4. The Secretary General shall provide the forum for consultations between the private sector, civil society organisations, other interest groups and appropriate institutions of the Community.
Article 128. Strengthening the Private Sector
1. The Partner States shall endeavour to adopt programmes that would strengthen and promote the role of the private sector as an effective force for the development of their respective economies.
2. For purposes of paragraph 1 of this Article, the Partner States undertake to:
(a) encourage the efficient use of scarce resources and to promote the development of private sector organisations which are engaged in all types of economic activity, such as, the chambers of commerce and industry, confederations and associations of industry, agriculture, manufacturers, farmers, traders, and service providers and professional groups;
(b) encourage and sponsor practical and resourceful methods of income generation in the private sector; and
(c) establish a quality information system which will allow collection, harmonised processing and timely dissemination of data and information.
3. For purposes of paragraph 1 of this Article, the Partner States may take such other additional steps as the Council may determine.
Article 129. Co-operation Among Business Organisations and Professional Bodies
1. The Partner States undertake to co-operate in promoting common measures to ensure the strengthening of linkages among their business organisations, employees' and employers' organisations and professional bodies. To this end, the Partner States agree to:
(a) support joint activities which will promote trade and investment among the Partner States;
(b) recognise and contribute to the efficient operation of federations of business organisations, professional and commercial interest groups and similar associations within the Community; and
(c) encourage and promote the taking of useful decisions by the Council and other relevant institutions of the Community in areas affectin g the private sector, and to monitor the implementation of such decisions.
2. The Council shall establish modalities that would enable the business organisations or associations, professional bodies and the civil society in the Partner States to contribute effectively to the development of the Community.
3. The Council shall formulate a business and business related dispute settlement mechanism.
Chapter Twenty Six. Relations with other Regional and International Organisations and Development Partners
Article 130. International Organisations and Development Partners
1. The Partner States shall honour their commitments in respect of other multinational and international organisations of which they are members.
2. The Partner States reiterate their desire for a wider unity of Africa and regard the Community as a step towards the achievement of the objectives of the Treaty Establishing the African Economic Community.
3. With a view to contributing towards the achievement of the objectives of the Community, the Community shall foster co-operative arrangements with other regional and international organisations whose activities have a bearing on the objectives of the Community.
4. The Partner States shall accord special importance to co-operation with the Organisation of African Unity, United Nations Organisation and its agencies, and other international organisations, bilateral and multilateral development partners interested in the objectives of the Community.
Chapter Twenty Seven. Co-operation In other Fields
Article 131. Other Fields
1. Subject to the provisions of this Treaty, the Partner States undertake to consult with one another through the appropriate institutions of the Community for the purpose of harmonising their respective policies in such other fields as they may, from time to time, consider necessary or desirable for the efficient and harmonious functioning and development of the Community and the implementation of the provisions of this Treaty.
2. For purposes of paragraph 1 of this Article, the Partner States may take in common such other steps as are calculated to further the objectives of the Community and the implementation of the provisions of this Treaty.
Chapter Twenty Eight. Financial Provisions
Article 132. Budget
1. There shall be a budget for the organs and institutions of the Community, save for the self accounting institutions.
2. Subject to this Treaty, a budget for the Community for each financial year shall be prepared by the Secretary General for consideration by the Council and approval by the Assembly.
3. All expenditures of the Community in respect of each financial year shall be considered and approved by the Council and shall be met from the budget.
4. The budget of the Community shall be funded by equal contributions by the Partner States and receipts from regional and international donations and any other sources as may be determined by the Council.
5. The resources of the Community shall be utilised to finance activities of the Community as shall be determined by the Assembly on the recommendation of the Council.
6. The budget and accounts of the Community shall be kept and maintained in United States dollars.
7. The financial year of the Community shall run from 1st July to 30th June.
Article 133. Other Resources
Other resources of the Community shall include such extra budgetary resources as: (a) grants, donations, funds for projects and programmes and technical assistance; and (b) income earned from activities undertaken by the Community.
Article 134. Audit of Accounts
1. There shall be an Audit Commission made up of the Auditors General of the Partner States whose functions will be to audit the accounts of the Community.
2. It shall be the duty of the Audit Commission to verify that any contributions received or revenue collected by the Community have been allocated and distributed in accordance with this Treaty and to include a certificate to that effect in its report.
3. The Audit Commission shall submit its reports under paragraph 2 of this Article to the Council which shall cause the same to be laid before the Assembly within six months of receipt for debate and for such other consultations and action as the Assembly may deem necessary.
4. In the performance of its functions under this Article, the Audit Commission shall not be subject to the direction or control of any person or authority.
Article 135. Financial Rules and Regulations
1. The Council shall make financial rules and regulations of the Community.
2. Self-accounting institutions of the Community shall make their own financial rules and regulations in line with the provisions of their respective enabling legislation.
Chapter Twenty Nine. General, Transitional and Final Provisions
Article 136. Headquarters and other Offices of the Community
1. The headquarters of the Community shall be in Arusha in the United Republic of Tanzania.
2. There may be established such offices of the Community in the Partner States and elsewhere as the Council may determine.
Article 137. Official Language
1. The official language of the Community shall be English.
2. Kiswahili shall be developed as a lingua franca of the Community.
Article 138. Status, Privileges and Immunities
1. The Community shall enjoy international legal personality.
2. The Secretary General shall conclude with the Governments of the Partner States in whose territory the headquarters or offices of the Community shall be situated, agreements relating to the privileges and immunities to be recognised and granted in connection with the Community.
3. Each of the Partner States undertakes to accord to the Community and its officers the privileges and immunities accorded to similar international organisations in its territory.
Article 139. Dissolution of the Permanent Tripartite Commission and Its Secretariat
Upon the coming into force of this Treaty, hereinafter referred to as "the appointed day", the Tripartite Commission and the Secretariat of the Tripartite Commission respectively established on the 30th day of November, 1993, by the Agreement for the Establishment of a Permanent Tripartite Commission for Cooperation Between the Republic of Uganda, the Republic of Kenya and the United Republic of Tanzania, and on the 26th day of November, 1994, by the Protocol on the Establishment of the Secretariat of the Permanent Tripartite Commission for Co-operation Between the Republic of Uganda, the Republic of Kenya and the United Republic of Tanzania, shall both cease to exist.
Article 140. Transitional Provisions
1. On the appointed day, the Executive Secretary, the Deputy Executive Secretaries, the Legal Counsel and other staff of the Secretariat of the Tripartite Commission shall assume the offices of the Secretary General, Deputy Secretaries General, Counsel to the Community and other staff of the Community respectively and shall be deemed to have been appointed thereto under the provisions of Articles 67, 68, 69 and 70 of this Treaty respectively: Provided that the Executive Secretary and the Deputy Executive Secretaries shall serve for the remaining period of their current contractual terms.
2. Until the Council adopts its procedure, the procedure that applies to the Tripartite Commission shall apply to the Council.
3. Until the Community adopts its own staff rules and regulations and terms and conditions of service and financial rules and regulations, those of the Secretariat of the Tripartite Commission shall apply.
4. Until such time as the Council determines that the Court is fully operational, a Judge appointed under Article 24 of this Treaty shall serve on an ad hoc basis. Notwithstanding the provisions of paragraph 5 of Article 25 of this Treaty, the salary and other terms and conditions of service of a Judge serving on an ad hoc basis shall be determined by the Summit on the recommendation of the Council.
5. Until the Assembly is elected at a time to be determined by the Summit and first meets, the functions of the Assembly in respect of the approval of the budget of the Community, consideration of annual reports on the activities of the Community and annual audit reports of the Audit Commission, shall be performed by the Council.
6. Until the adoption of Protocols referred to in Article 151(1), the Council may make regulations, issue directives, take decisions, make recommendations and give opinions in accordance with the provisions of this Treaty.
7. Pending the conclusion of a Protocol under paragraph 1 of Article 75 of this Treaty, the Partner States agree to maintain the rules of origin currently applicable for the purpose of the preferential treatment of goods traded among them and originating in the Partner States.
Article 140 (A). Transition
1. Any judgment or order made by the Court since the entry into force of the Treaty shall be deemed to have been made by the First Instance Division of the Court.
2. A Judge serving in the East African Court of Justice existing immediately before the entry into force of this Article shall continue as a Judge of the First Instance Division for the purposes of the Treaty and is eligible for appoint ment to the Appellate Division.
Article 141. Transfer of Assets and Liabilities
1. On the appointed day there shall be transferred to and vested in the Community by virtue of this Article and without further assurance, all the assets and liabilities of the Secretariat of the Tripartite Commission and from that day, the Community shall, in respect of the assets and liabilities so transferred and vested in it, have all the rights, and be subject to all the liabilities, which the Secretariat of the Tripartite Commission had, or is subject to, immediately before that day.
2. Every contract made by or on behalf of the Secretariat of the Tripartite Commission in writing and whether or not of such a nature that rights and liabilities thereunder can be assigned by the Secretariat of the Tripartite Commission, shall have effect as if made by or, on behalf of the Community and as if references therein to the Secretariat of the Tripartite Commission or any officer or authority thereof, were references to the Community and to the corresponding officer or authority thereof.
3. Any proceedings by or against the Secretariat of the Tripartite Commission pending on the appointed day, shall be continued by or against the Community.
4. Reference to the Secretariat of the Tripartite Commission, in any law or document shall on and after the appointed day, be construed as references to the Community.
Article 142. Saving Provisions
1. Subject to the provisions of this Treaty, the operation of the following tripartite agreements after the coming into force of this Treaty shall not be affected by such coming into force, but the agreements shall be construed with such modifications, adaptations, qualifications and exceptions as may be necessary to bring them into conformity with the Treaty:
(a) Agreement for the Establishment of The Permanent Tripartite Commission for Co-operation Between the Republic of Uganda, the Republic of Kenya and the United Republic of Tanzania;
(b) Protocol on the Establishment of a Secretariat of the Permanent Tripartite Commission for Co-operation Between the Republic of Uganda, the Republic of Kenya and the United Republic of Tanzania;
(c) Headquarters Agreement between the Secretariat of the Commission for East African Co-operation and the Government of the United Republic of Tanzania;
(d) Tripartite Agreement for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income;
(e) Memorandum of Understanding on Co-operation in Defence;
(f) Tripartite Agreement on Road Transport;
(g) Tripartite Agreement on Inland Waterways Transport;
(h) Memorandum of Understanding on Foreign Policy Co-ordination; and
(i) Memorandum of Understanding between the Republic of Uganda and the Republic of Kenya and the United Republic of Tanzania for Co-operation on Environment Management.
2. The dissolution of the Tripartite Commission in terms of Article 139 of this Treaty shall not affect the decisions of the Tripartite Commission but such decisions shall be construed and implemented with such modifications, adaptations, qualifications and exceptions as may be necessary to bring them into conformity with this Treaty.
Article 143. Sanctions
A Partner State which defaults in meeting its financial and other obligations under this Treaty shall be subject to such action as the Summit may on the recommendation of the Council, determine.
Article 144. Duration of the Treaty
This Treaty shall have perpetual duration.
Article 145. Withdrawal of a Member
1. A Partner State may withdraw from the Community provided:
(a) the National Assembly of the Partner State so resolves by resolution supported by not less than two-thirds majority of all the members entitled to vote; and
(b) the Partner State gives to the Secretary General twelve month's written notice of its intention to withdraw, unless that State cancels the notice before the expiry of the twelve months.
2. A Partner State wishing to withdraw from the Community shall, during the period of twelve months referred to in paragraph 1 of this Article, continue to be liable to discharge her obligations under the Treaty.
3. Notwithstanding the effective withdrawal from membership by such State, upon expiry of the notice that State shall remain liable to discharge all subsisting obligations and long term commitments incurred during membership.
Article 146. Suspension of a Member
1. The Summit may suspend a Partner State from taking part in the activities of the Community if that State fails to observe and fulfil the fundamental principles and objectives of the Treaty including failure to meet financial commitments to the Community within a period of eighteen (18) months.
2. A Partner State suspended, in accordance with paragraph 1 of this Article, shall cease to enjoy the benefits provided for under this Treaty but shall continue to be bound by membership obligations until the suspension is lifted.
Article 147. Expulsion of a Member
1. The Summit may expel a Partner State from the Community for gross and persistent violation of the principles and objectives of this Treaty after giving such Partner State twelve months' written notice.
2. Upon the expiration of the period specified in paragraph 1 of this Article, the Partner State concerned shall cease to be a member of the Community unless the notice is cancelled.
3. During the period referred to in paragraphs 1 and 2 of this Article the Partner State concerned shall continue to comply with the provisions of this Treaty and be liable to discharge all subsisting obligations and long-term commitments incurred during membership.
Article 148. Exceptions to the Rule of Consensus
Notwithstanding the provisions of paragraph 3 of Article 12 of this Treaty, the views of the Partner State being considered for suspension or expulsion shall not count, for the purposes of reaching a decision under the provisions of Articles 146 and 147 of this Treaty.
Article 149. Rights Over Property and Assets of the Community Upon Cessation of Membership
1. Where a Partner State withdraws or is expelled in accordance with Articles 145 and 147 respectively of this Treaty the property of the Community in that Partner State's territory shall remain vested in the Community.
2. A State that has ceased to be a Partner State of the Community shall have no claim to or any rights over any property and assets of the Community.