East African Monetary Union issue is on the cards again
At least, the implementation of the East African Monetary Union roadmap was among the agendas at the18th Meeting of the Sectoral Council on Finance and Economic Affairs, held in Arusha.
Black News 
The long-dilly-dallied subject of the East African Community monetary union is back on the table again.
At least, the implementation of the East African Monetary Union roadmap was among the agendas at the18th Meeting of the Sectoral Council on Finance and Economic Affairs, held in Arusha.
The East African Community (EAC) recently convened the Sectoral Council on Finance and Economic Affairs (SCFEA) together with the 21st Meeting of the EAC Pre-Budget Consultations of the Ministers of Finance.
The meetings considered key matters aimed at strengthening fiscal coordination, customs and trade policy harmonization, statistics development.
Delegates also reviewed progress on previous decisions and directives, Partner States’ budget proposals for Financial Year 2026/27, the implementation of the EAC Common External Tariff, sustainable financing of the Community and preparations for the Monetary Union.
Dr. Albert Musisi, the Chairperson of the Session of Senior Officials of the SCFEA and Commissioner for Macroeconomic Policy Department in Uganda’s Ministry of Finance, called on Partner States to head the 25th Ordinary Summit of EAC Heads of State which emphasized timely implementation of decisions and directives rather than unending consultations.
On his part, Aime Uwase, Director of Planning, noted that the meetings come at a critical moment as the region navigates global and domestic economic challenges while pursuing economic recovery, strengthening resilience to external shocks and deepening regional integration.
Fiscal Coordination and Budget Policy Alignment
The Sectoral Council considered Partner States’ Budget Policy Statements and medium-term projections, including revenue and expenditure priorities, fiscal deficit targets and debt management plans.
The Sectoral Council is also expected to consider a harmonized date for the reading of the 2026/27 national budget speeches and review national budget themes to guide the EAC regional budget theme.
Pre-Budget Consultations and Customs Policy Measures
The 21st Pre-Budget Consultations have considered outstanding matters from the 20th Meeting, including implementation of specific duty rates, review of the EAC Rules of Origin, application of the revised EAC Common External Tariff and Partner States’ submissions for Fiscal Year 2026/27.
The Sectoral Council reviewed the study and policy analysis on glass and ceramic tiles manufactured in the EAC, with recommendations aimed at supporting regional manufacturing, strengthening value addition, reducing reliance on imports and addressing non-tariff barriers affecting regional trade.
Statistics Harmonisation and Monetary Union Preparations
On statistics, the Sectoral Council reviewed progress in the development and harmonization of regional statistics, including the adoption of nine (9) additional regional statistical guidelines, bringing the total number of regional statistical guidelines to seventeen (17).
The Sectoral Council will also consider progress in implementing the roadmap for the realization of the East African Monetary Union (EAMU).
This includes the establishment of the four EAMU support institutions and the status of macroeconomic convergence, where performance remains mixed across Partner States, particularly on fiscal deficit, reserve cover and public debt indicators.
The meeting will also consider progress in developing modalities for Partner States to pay annual contributions to the Community in local currencies, phasing out overdraft facilities, developing mechanisms to bridge temporary liquidity gaps and establishing a Sub-Committee on Public Financial Management modernization and harmonization under the Committee on Fiscal Affairs.
