The East African Monetary Union is set to be launched soon following its ratification by all the five EAC partner states.

Uganda, which was the last to ratify the protocol, deposited its ratification instruments with the EAC Secretariat in Arusha last week. Tanzania, Rwanda, Burundi and Kenya ratified the protocol last year. Uganda, it it reported, delayed ratifying the EAMU protocol due to budgetary constraints.

“Like the Common Market Protocol and Customs Union, the Monetary Union will be officially launched in each partner state simultaneously for its implementation,” said Peter Njoroge, director of economics at Kenya’s Ministry of EAC.

“The launch will either be presided over by the country president or respective EAC ministries depending on the country’s arrangements,” he added.

Mr Njoroge said the ratification of the EAMU has paved the way for the partner states to start the process of implementing the protocol in the next 10 years.

According to Mr Njoroge the priority areas as per the protocol schedule will be the establishment of the EAC Monetary Institute and creation of an institution responsible for surveillance, compliance and enforcement by 2018. The other institutions to be created will include one in charge of collecting statistics and another responsible for financial services.

In November last year, the EAC central bank governors agreed that each country should at all times have enough dollars to buy 4.5 months’ worth of imports, yielding to pressure from Kenya, which felt the initial proposal of six months would hurt economies seeking to promote exports.

The single currency is the third pillar of the EAC integration after the Customs Union and the Common Market, which have paid off through improved turnaround for movement of cargo from Mombasa to Kampala from 18 to four days and from Mombasa to Kigali from 21 days to six days.