Monetary Union
Posted in
Integration Pillar
What is the Monetary Union?
The East African Monetary Union (EAMU) is an important stage in
the process of East African Community (EAC) Regional
Integration. The EAMU Protocol was adopted in accordance with
the EAC Treaty and signed on 30th November 2013; it lays
groundwork for a monetary union within 10 years and allows the
EAC Partner States to progressively converge their currencies
into a single currency in the Community.
In the run-up to achieving a single currency, the EAC Partner
States aim to harmonise monetary and fiscal policies; harmonise
financial, payment and settlement systems; harmonise financial
accounting and reporting practices; harmonise policies and
standards on statistical information; and, establish an East
African Central Bank.
Sectors under the Monetary Union:
Co-operation in monetary and fiscal matters in order to
establish monetary stability within the Community, aimed
at facilitating economic integration efforts and the
attainment of sustainable economic development of the
Community.
Providing an enabling environment for the private sector
to take full advantage of the Community through the
promotion of a continuous dialogue with the private
sector to help create an improved business environment
and enhancing investor confidence in the region.
Rationalising investments and the full use of
established industries to promote efficiency in
production, as well as harmonising trade policies,
investment incentives and product standards, with a
view to promote the Community as a single investment
area
