An EU in East Africa?

Deutsche Welle, 12 January 2014

Passport-free travel, a common market, and a single currency. Sound like the EU? It's Kenya, Tanzania, Uganda, Rwanda and Burundi, and they're being warned to take things slowly.

Traveling without a passport or visa, which is a right within the European Union, may soon be possible for around 135 million people in East Africa. Since January 1, Kenya, Rwanda and Uganda have allowed their citizens to travel freely across the three countries. At border control stations, an identity card, whether for work, school or voting, is all that's required. Travelers no longer suffer high visa costs and nerve-wracking administrative processes.

That's because Kenya, Rwanda and Uganda are members of the East African Community (EAC). Their goal: more inter-African trade through a common market with unified immigration and custom laws. “We must deepen trade amongst each other," said Kenya's President Uhuru Kenyatta, current EAC chair. "This way our private sectors will develop the strength, resilience and stature needed to take on the world."

Safety concerns

A September 2013 terror attack in Nairobi,
Kenya added to fears of terrorism

Burundi and Tanzania also belong to the EAC. At this point, both countries have kept their borders closed due to fears of terrorist attacks by members of the Somali al-Shabaab militia. Tanzania is the only country bordering all four EAC countries, says Samuel Sitta, Tanzania's minister for East African Cooperation.

Sitta criticizes that technical requirements for free travel have not yet been mastered: As before, border control machines cannot read all passports. "Fragilearrangements are a security threat," he said. "Our region has no peace, and as we speak, there is war in South Sudan."

Tanzanian security forces believe members and sympathizers of al-Shabaab would be able to obtain identity cards and travel within EAC countries. Some are even thought to be current EAC citizens. With new freedom to travel comes an increased risk of attacks and assassinations.

Boom times?

Security concerns are also rife in Kenya, Rwanda and Uganda. There, however, the fears are trumped by potential trade benefits. Freedom of movement for workers, goods, services and capital have awoken hope for more investments in the region: streets, rail lines and power grids.

"The infrastructure has been a challenge obviously," economist Martin Otieno told DW from Nairobi. "But what we've seen in recent years is that governments have renewed their commitment to making the free movement of goods, people, commerce, trade and investment much easier." Otieno added that it's the private sector which is the chief driver of regional integration and which is now pressing governments to hold to their promises.

The five states of the EAC are now working on their next large-scale project: They want to establish a currency union like the eurozone, with the hope that it would strengthen the economies and make East Africa more attractive to foreign investors. Governments signed a framework agreement in December 2013 in Uganda's capital, Kampala, with the currency zone to be implemented within ten years.

Don't rush it

However, each country must meet specific criteria, such as inflation targets. Countries will have to establish independent institutions to manage the currency. A look toward Europe is helpful - but only to an extent.

IMF chief Christine Lagarde meets with
Kenyan President Uhuru Kenyatta

On a trip to Kenya in January, the managing director of the International Monetary Fund (IMF), Christine Lagarde, advised countries to look at Europe's experience - but to "hasten slowly" and "not rush."

"Make sure you learn from our mistakes," she said, adding that East Africans can even teach Europeans how to do things correctly.

Stumbling blocks on the road to integration, the IMF chief said, include non-tariff trade barriers such as import quotas or export restrictions. But differences in member economies can also pose a problem. The extent of the strain a currency zone can be forced to endure is something Europe learned only recently during its - still lingering - debt crisis.

Related Articles:

East African countries agree to adopt common currency within 10 years

President Mahama To Lead Process Towards ECOWAS Currency

A Latin American Euro? The Region’s First Steps Towards A Unique Currency -- What IsThe Sucre?

ASEAN has good single currency prospect


"A Summary" – Apr 2, 2011 (Kryon channelled by Lee Carroll) (Subjects: Religion, Shift of Human Consciousness, 2012, Intelligent/Benevolent Design, EU, South America, 5 Currencies, Water Cycle (Heat up, Mini Ice Ace, Oceans, Fish, Earthquakes ..), Middle East, Internet, Israel, Dictators, Palestine, US, Japan (Quake/Tsunami Disasters , People, Society ...), Nuclear Power Revealed, Hydro Power, Geothermal Power, Moon, Financial Institutes (Recession, Realign integrity values ..) , China, North Korea, Global Unity,..... etc.) - (Text version)

“…. Human Nature is Changing

There's a new concept afoot, a change in Human nature. We've spoken about this before. How many of you studied European history? And in school, did your mind fill up with all of the dates you had to memorize? Who conquered whom and when? Over and over and over, every single country had their turn conquering another country. Borders moved constantly. As far back as you want to go, that's what Humans did. They separated, gathered, and conquered. But as little as 50 years ago, it all stopped.

We've said this before. Fifty years ago, a seed, an idea, was planted at the end of World War II. "Let's put these European countries together," they said. "Let's even drop the borders and eventually give them one currency." Do this and they'll never war again, they predicted, for countries with common economic sources don't go to war! And that's exactly what's happened. Did it work? It's fairly fresh, but their money is threatening to take over the strength of your money, did you notice? It's worth more than yours. They still struggle to make it work and balance it. But then again, you do the same in the United States, always fine tuning the unity.

South America is considering the same thing right now. The seeds are being planted in Brazil. Within a generation, they would love to see the borders dropped and one currency. Can they do it? Perhaps. Perhaps it will take longer. Why do it? Because they see the European Union with the strongest currency on Earth. We've said this before. Here is a prediction: Perhaps not in your time, but there'll come a day when there are only five currencies in the world, because continents will start understanding that unification creates peace and prosperity. Separation creates chaos. What a concept.  …”

Africa - "The End of History"- Nov 20, 2010 (Kryon channeled by Lee Carroll)

"..  Let me tell you where else it's happening that you are unaware - that which is the beginning of the unity of the African states. Soon the continent will have what they never had before, and when that continent is healed and there is no AIDS and no major disease, they're going to want what you have. They're going to want houses and schools and an economy that works without corruption. They will be done with small-minded leaders who kill their populations for power in what has been called for generations "The History of Africa." Soon it will be the end of history in Africa, and a new continent will emerge.

Be aware that the strength may not come from the expected areas, for new leadership is brewing. There is so much land there and the population is so ready there, it will be one of the strongest economies on the planet within two generations plus 20 years. And it's going to happen because of a unifying idea put together by a few. These are the potentials of the planet, and the end of history as you know it.

In approximately 70 years, there will be a black man who leads this African continent into affluence and peace. He won't be a president, but rather a planner and a revolutionary economic thinker. He, and a strong woman with him, will implement the plan continent-wide. They will unite. This is the potential and this is the plan. Africa will arise out the ashes of centuries of disease and despair and create a viable economic force with workers who can create good products for the day. You think China is economically strong? China must do what it does, hobbled by the secrecy and bias of the old ways of its own history. As large as it is, it will have to eventually compete with Africa, a land of free thinkers and fast change. China will have a major competitor, one that doesn't have any cultural barriers to the advancement of the free Human spirit. …."