Deepening Integration in SADC - Fes-botswana.org

progress and reforms might be necessary, depending on the individual
circumstances of each member country.
The goal of deepening integration in SADC countries vis-à-vis
macroeconomic policy frameworks needs to be considered in
conjunction with the other objectives of SADC. A broad range of
stakeholders will need to be involved in the process, including ministries
of trade, industry, labour, finance, central banks and the private sector
from each SADC country.
Greater macroeconomic integration and better trade, finance and
labour policies will enable the region to attract private capital flows.
Given the low level of domestic savings and investment, however, it
seems that SADC countries will need to attract more private capital
inflows to promote economic growth.
Institutions and policies should be put in place to ensure the efficient
use of these flows, as well as to control their potentially destabilising
effects. The banking system is the core institutional structure on which
all other sectors and financial institutions depend. Priority should
therefore, be given to developing sound economic, social and financial
infrastructure in the SADC countries.
9.2 Future Research
I n terms of further research topics, the study provides no discussion
of trade and finance development in terms of policy analysis and
impact modelling. It also does not consider insurances and labour
markets, which are mostly underdeveloped in the SADC region and
which form an important component of deepening integration in SADC
vis-à-vis macroeconomic policy frameworks.
Other possible topics include looking at the connections of the financial
and monetary integration. For example, what kind of financial
arrangements need to be in place for monetary integration to take place?
SADC's objective of macroeconomic convergence cannot be achieved
without some complementary financial sector policies. Finally, the
possibility of creating a financial hub for the region somewhere within
the SADC countries could be explored, as well as the complementary
policies, which would be required to make this a politically acceptable,
and economically viable strategy for all SADC countries.
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