Tuesday, December 3, 2013
DEC 3 EAST AFRICANS NATIONS UNITE WITH SINGLE CURRENCY
Once again, we here at the DUNER BLOG have been searching the globe for important news stories you might have missed. This week, we're off to East Africa! On Saturday, the heads of state from five nations signed a major trade agreement. Standing united at a press conference in Kampala, the five large men announced the formation of a new common market and a single currency. Soon, Kenya, Tanzania, Uganda, Rwanda and Burundi will operate as a giant, united, economic powerhouse.
Called the East African Community (EAC), the new group will be impressive. The EAC boasts a population of 135 million people and $85 billion in total Gross Domestic Product. By uniting their economies, the coalition hopes to change the negative aspects of the region that ultimately deter foreign investment. "The promise of economic development and prosperity hinges on our integration," said Kenya's President Uhuru Kenyatta
You ask: "What does Rwanda export anyhow?" The good news: It isn't just sugar and bananas anymore! Large petroleum deposits have recently been discovered in Central Uganda and Western Kenya. Likewise, Tanzania has vast, untapped natural gas reserves. However, all five nations lack the infrastructure needed to exploit these natural resources. The single currency will change all that. It will "provide the absence of currency risk and a present a greater incentive to invest and trade in East Africa" said Kenyatta.