For over a decade, EAC member states have agreed on the need to implement a common currency to boost regional economic integration.

The initial target for launching the currency was set for 2024, but the timeline has now been extended by an additional seven years.

Speaking before parliamentarians recently, Rwangombwa highlighted the challenges surrounding the creation of the EAC currency, particularly the unresolved issue of where the EAC Central Bank should be based.

He noted that this disagreement has been a key factor in the delay, pushing the projected launch of the currency to 2031.

“There are several unresolved issues that need to be addressed, and one of the main challenges is that the member states have not yet agreed on the location of the East African Central Bank’s headquarters. However, we are hopeful that the establishment of the currency by 2031 will contribute positively to regional integration,” Rwangombwa explained.

A recent assessment placed Tanzania as the leading candidate to host the EAC Central Bank, with a score of 82.4%. Burundi followed with 78.1%, and Kenya scored 77.3%.

However, several countries in the region, including Kenya and Uganda, have expressed dissatisfaction with the report, claiming that the evaluation process lacked transparency.

Governor Rwangombwa recently highlighted setbacks in establishing EAC single currency.