Cooperation in the EAC is Not New
Cooperation in the eastern part of African is not new. During the post-independence period desire for integration led to the establishment of the EAC in 1967, but, it collapsed a decade later in 1977 due to various reasons, chief among them being the ideological and economic policy differences. This was followed by its formal dissolution in 1983, with sharing of assets and liabilities guided by the Mediation Agreement signed in 1984. The dissolution was a sad and final option, considering that then the community was one of the most advanced regional integration arrangements in the world.
The Mediation Agreement of 1984, however, gave a window for future cooperation among the three countries of Kenya, Tanzania and Uganda. This window was, in fact, to be utilised much later. On the fringes of the Commonwealth Summit in Harare, Zimbabwe, in 1991, the then leaders of the three East African countries met and agreed on laying the ground for the revival of the community
Crowded House Diary to Delay EAC Common Market
Legislation to operationalise the EAC Common Market Protocol is set to delay, following parliament’s “crowded” calendar. The EAC Permanent Secretary, David Nalo, expressed concern that 27 pieces of legislation identified for review will not be carried out in time, as they are still pending before the AttShorney General’s office, following the decision by parliament to prioritise the implementation of the new constitution.
In 2010, the EAC Ministry set up a task force to review laws including immigration, customs and employment. The review is expected to oversee the implementation of the common market treaty on movement of goods and services, free movement of labour, removal of work permits and free movement of persons. The Common market agreement that came into operation in July 2010 has a two-year implementation period that is set to lapse by 2012
Kenya Cautious about EAC Single Currency Plan
Anxiety has hit Kenya’s economic sector as the five East African countries start fresh talks to introduce a single currency — even as disputes delay other integration plans. Top government officials from member states who concluded a four-day preparatory meeting in Arusha are expected to begin a final round of talks on the monetary union protocol, setting the stage for the launch and eventual adoption of a single currency next year.
The region’s monetary union seeks to unite the monetary, fiscal and trade policies of Kenya, Tanzania, Uganda, Rwanda and Burundi, allowing citizens to trade and interact freely. A proposal has also been put forward that the East African Shilling will be adopted in a monetary union — a currency abandoned more than three decades ago with the collapse of the first EAC integration