Africa, Business, invesment, Invesments, news, Uncategorized, World Bank, World Bank Group

Africa News December 05, 2013 at 10:33AM

this blog is spored BY reflex Eco Group

VENTURES AFRICA – The Central Banks of three East African Community (EAC) member states – Kenya, Tanzania and Uganda – have linked their banking systems in an effort to ease financial transactions among the regions, through the signing of an EAP agreement by their Heads of State.

The EAC, which has made huge gains in intra-regional trade among member states since 2005, has had to grapple with a lack of suitable and secure way to make and receive payments.

“[The new system] will make cross border payments easier and facilitate safe and efficient transfer of monetary value within the region,” commented Deputy Governor of Bank of Uganda, Louis Kasekende.

“It will be vital in promoting regional trade and enhancing economic integration,” Kasekende said. He added that it would especially benefit traders who move large sums of money.

The payment structure, which is a larger plan by the EAC economies to integrate their money and capital markets, comes after five heads – including Rwandan and Burundi presidents, signed the Monetary Union Protocol which is intended to result in a single currency in 10 years’ time.

Rwanda and Burundi are expected to join the integrated regional payment system at a latter date.

Last week, Kenya, Tanzania, Uganda, Rwanda and Burundi signed the first draft of a monetary union treaty which would see the East African region share the same currency, policies and central bank, within 10 years.

 

 

Advertisements
Standard

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s