BoU Governor Prof Emmanuel Tumusiime Mutebile.

The Governor Bank of Uganda Prof. Emmanuel Tumusiime-Mutebile, has urged the East African Community (EAC) central banks to put in place measures that can effectively check money laundering scams in the region.

“There is need for EAC Central Banks to work together to counter terrorist financing and ensure compliance of anti-money laundering efforts,” Mutebile said Friday in Kampala during the 21st Ordinary EAC Monetary Affairs Committee (MAC) Governor’s meeting at the Kampala Serena International Conference Centre.

The MAC is composed of central bank governors from the EAC Partner states of Kenya, Rwanda, Burundi, Uganda, Tanzania and South Sudan. The officials are one of those in the EAC bloc tasked to steer the states into a single monetary union that should, if achieved, establish one currency to be used as a means of exchange in all the partner states.

Gov. Mutebile also while speaking said central banks needed to address the challenge of e-currency. “There is concern of growing usage of E-currency in the region which has been hard for central banks to regulate,” he said.

Talking of the EAC integration challenges, Mutebile said the slowdown of economic growth characterised by slow private sector growth and the non-performing loans were some of the factors responsible.

“There are a number of issues that have challenged our integration efforts such as slowdown of economic growth, slow private sector growth and increase of non-performance loans,” he said.

But he said MAC meeting on-going in Kampala gives an opportunity to officials to take stoke of progress attained in steering progress of East African monetary union.

While highlighting on the progress so far, the Central Bank of Kenya (CBK) Governor, Patrick Njoroge said: We have made great strides towards ensuring harmonisation of our regional frameworks. Significant progress has been made on the front of establishing the requisite institutions in particular the establishment of the East African Monetary Institute and Statistics Bureau.”

Njoroge said the two institutions have been forwarded to the E.A legislative Assembly for further scrutiny, adding that CBK is remains committed to the integration process to ensure successful harmonisation of the creation of the creation of the East African Central Bank with a single currency.

John Rwangombwa, the Governor, National Bank of Rwanda said there was good cooperation among the EAC central banks in fighting cybercrimes. He said: “I’d like to appreciate the co-operation we have had as central banks in dealing with challenges such as cyber security and crypto currencies.”

The First Deputy Governor, Bank of Burundi while speaking of the monetary union progress  said his country is “engaged in the modernisation of monetary policy to align it with price based monetary policy framework.”