East African Community to decide on regional central bank launch in 2023
As the East African Community (EAC) moves towards its currency governance objective, a top official said the regional intergovernmental organization will decide when, how and where to locate the planned regional central bank in 2023. According to the report, the financial institution, which will also be known as the East African Monetary Institute, is seen as an institution that is extremely important for the implementation of the single currency system. The organization’s Council of Ministers is expected to consider a replacement for the regional central bank, according to Peter Mathuki, Secretary-General of the East African Community. Reportedly he said that the East African Community would be in place this year which would allow us to harmonize the fiscal and monetary policies of the member states and in about 3 years we would have a common currency.
Once the regional currency is in place, the East African Community will then approach its objective of increased movement of business and people within the region. Obviously this will also give a boost to intra-regional trade which stood at $10.17 billion by September 2022. As was reported by Bitcoin News the East African Community which consists of seven African countries is expected to have a single currency by 2024 and through the same report it is revealed that the member states have decided to convert to a central bank digital currency. The moribund East African currency system. Meanwhile, to make it easier for business and people to move within the region and to make their access more flexible, the East African Community has been discussing how the organization could remove barriers to non-tariff trade. As reported in the report, a total of 257 non-tariff barriers (NTBs) have been resolved since 2007.
