East African Community (EAC) central bank governors reaffirmed their commitment to launching a single regional currency by 2031 after reviewing progress toward monetary integration and the rollout of a regional cross-border payments system.
The pledge came during the 29th Ordinary Meeting of the EAC Monetary Affairs Committee (MAC) in Kampala on July 24, chaired by Bank of Uganda Governor Michael Atingi-Ego. The meeting brought together central bank governors and senior officials from EAC partner states, alongside representatives of the EAC Secretariat.
The governors assessed progress toward the East African Monetary Union, the bloc’s long-term plan to adopt a common currency aimed at deepening regional economic integration and facilitating trade and investment.
While reaffirming the 2031 target, the committee acknowledged that partner states have made uneven progress in meeting the macroeconomic convergence criteria required for a monetary union, highlighting the need for continued policy coordination.
The committee also reviewed implementation of the EAC Cross-Border Payment System Masterplan, approved at its previous meeting to modernise and integrate payment infrastructure across the region.
The masterplan seeks to reduce transaction costs, shorten settlement times, improve interoperability between national payment systems and address the fragmented nature of cross-border payments.
Governors said implementation has begun, with annual work plans completed, priority projects identified and financial and technical resources mobilised to support execution.
Once fully implemented, the system is expected to enable faster and more seamless cross-border transactions, expand financial inclusion, promote innovation in the financial sector and boost intra-regional trade.
The EAC has identified monetary and financial integration as a cornerstone of its regional integration agenda. However, officials said significant work remains before the bloc can achieve a common currency, with member states needing to further align their economies with agreed convergence benchmarks ahead of the 2031 deadline.
