Convergence Criteria-Guided Regional Economic Integration in SADC And EAC: Lessons from Europe's Experience

The purpose of this article is to provide a critical review and analysis of the convergence criteria-guided economic integration method, and accordingly suggest a conceptual framework for the envisaged monetary unions in various African Economic Communities, and the African Union at large. The SADC and the EAC are selected as case studies. The theoretical basis that underpins this study is the convergence criteria-guided economic integration, typically implemented in sequence of stages of economic integration. It employed document research method where three major policy documents, namely the Europe's Maastricht criteria, SADC's Protocol on Finance, and EAC's Investment and Protocol on the Establishment of the East African Community Monetary Union were scrutinised and analysed to address the study's research objectives. Empirical studies on the convergence criteria on the two African economic blocs were also reviewed. The author of this piece argues that there should be more discussion and debate on the macroeconomic variables to be included as criteria for convergence across member countries and across the various regional economic communities so that uniform convergence criteria are adopted by all African countries and work towards it. Based on the critical analysis on the subject, the importance of setting clear and uniform convergence criteria for the two economic communities under study, and Africa at large cannot be overstated. Macroeconomic policies of member countries should be co-ordinated at the highest level. Assessment and monitoring of such progress should be made regularly, and advice and support should be provided to member countries by a competent body as and when it is necessary.