As it seems our fate is doomed. We will be joining the EA Monetary Union soon. However there is very little, if at all,information as to how the monetary union will perform. My biggest worry is for the weaker economies. While competion is a healthy thing to all contestants, we must watch out for the htches which if not addressed,Tanzania will be drained dry!! The lesson from the Greek scenario shoild be watched closely. Unfortunately no body is explaining this to the wananchi. What will surely happen is: people will buy goods , by preferance or inducement, from the economically stronger country-Kenya that is. Of course the business men/women will remitt the proceeds to their respective countries. Take this over a long period of time, this will mean the SAME currency starts accumulating in one part of the monetary union. Now this is what is happening in Greece now and before our own eyes!!! The Euro flight from the "poorer" South European countries is now vivid and problems in Greece and Spain are all over the news. This is what is in store for our monetary unionion. I am not an Economist but one notable Economist, University of Maryland economics professor Theodore Kariotis points out that dropping the euro would put monetary policy muscle, control and flexibility back into the hands of the Greek government. Tanzania Goverment watch out. UPDATE ===== Dont rush common currency IMF boss tells East African Community BY Dinfin Mulupi | 7 January 2014 at 15:57 </body> International Monetary Fund (IMF) managing director Christine Lagarde has urged East African Community (EAC) member states not to rush the implementation of a single currency. International Monetary Fund (IMF) managing director Christine Lagarde East African countries are set to trade in a single currency by 2015 following last months signing of the monetary union protocol by the regions heads of state. Speaking to business leaders in Nairobi, Lagarde told EAC states to hasten slowly and draw upon the experience and lessons learned from other regions mistakes and omissions. As a member of the Monetary Union of Europe, I have to tell you that it is a very ambitious exciting project, [but] one where, as Aristotle would put it, you should hasten slowly in order to make sure that all the steps are taken and all the boxes are checked. Dont rush. Make sure that you learn from our mistakes and that the East African Monetary Union can actually teach the Europeans how to do it right. In 2007, East African heads of state resolved to have a common market and a single currency by 2012. While the common market protocol which allows free movement of people within the EAC block came into effect in July 2010, the establishment of a monetary union has delayed and attracted criticism. Sceptics have often argued that studies should be undertaken on the implications of transferring monetary powers to the regional level, insisting that after the implementation of the monetary union, any problems would jeopardise the entire region. According to EAC leaders, a single currency will enhance trade among the five countries, reduce transaction costs and strengthen regional integration among Kenya, Tanzania, Uganda, Rwanda and Burundi. The East African monetary union is the third pillar of the regions integration. MY TAKE- I said it way back in 2010!