The East Africa Law Society has called on Tanzania to suspend its new business licensing order banning non-citizens from doing business in 15 economic sectors.

Kenya and Tanzania are part of the East African Community, a bloc that, under a common market agreement, guarantees the free movement of goods, labour and services across its eight partner states.

Jafo added that he hoped the ban, announced on Monday, would also encourage foreigners to invest in large-scale businesses. But it has been met with anger in Kenya, with some arguing that it violates East African Community (EAC) agreements that guarantee free movement of people and trade among its eight member states.

Tanzania’s decision to bar foreign nationals from owning and operating a wide range of small-scale businesses is stirring diplomatic unease and threatening to trigger a trade standoff with neighbouring Kenya.