development of banking and financial systems, including promotion of african banking networks. - promotion of sub - regional and regional stock exchanges. - strengthening and harmonisation of banking and financial supervision and regulation. - observance of the following macroeconomic indicators by year 2008 : • budget deficit / gdp ratio not exceeding 5 per cent. • central bank credit to government not exceeding 10 per cent of previous year's tax revenue. • single digit inflation rate. • external reserves / import cover of at least 3 months. • reduction of current account deficits ( excluding grant ) as percent of gdp to sustainable level. • pursuit of debt reduction initiatives on public debt as percent of gdp to sustainable level. • achieving and maintaining high and sustainable rate of growth of real gdp. stage iii ( year 2009 - 2014 ) assessment of macroeconomic performance and negotiation for the establishment of a common central bank ( year 2015 ). at this stage, countries would be required to consolidate achievements made at the third stage. the activities under this stage would include : - continued observance of macroeconomic indicators of convergence including : • inflation rate of less than 5 per cent. • overall budget deficit / gdp ratio ( excluding grants ) of less than 3 per cent. • elimination of central bank financing of budget deficits. • external reserves of equal to or more than 6 months of imports of goods and services. • reduction of current account deficits ( excluding grant ) as percent of gdp to sustainable level. • pursuit of debt reduction initiatives on public debt as percent of gdp to sustainable level. • achieving and maintaining high and sustainable rate of growth of real gdp. - assessing the macroeconomic indicators of each country / sub - region against the convergence criteria. a comparative analysis would be made thereafter to the convergence council. - commissioning of a study on the establishment of an african exchange rate mechanism ( 2010 ). - review of commissioned study on the african exchange rate mechanism ( 2011 ). - observance of the following macroeconomic indicators by year 2012 : • budget deficit / gdp ratio not exceeding 5 per cent by 2012. • elimination of central bank credit to government. • external reserves / imports cover of equal or greater than 6 months. - finalisation of arrangements required for the launching of the african monetary union. - this is the completion stage before the take off of the common central bank. the following activities are expected to be undertaken : • preparation of institutional, administrative and legal framework for setting up the common central bank and currency of the african monetary

creation of a common central bank for the cma countries. as is normal, decisions in this regard will be taken by the political leaders of the cma countries, rather than by central bankers. in short : programmes intended to achieve monetary union exist at the continental ( au ), regional ( sadc ) and intra - regional levels ( cma ) : and swaziland participates in them all. conclusion the questions which policy makers will have to continue to address are clear. they include the following. should we continue down this path? do the programmes have realistic time frames? are they on target? fortunately, i don ’ t have to wrestle with them : and any assessment by me would be not only discourteous but also presumptious. i have sketched the issues in broad outline, and thank you all for your attention.