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Memorandum of Understanding on Macroeconomic Convergence
SADC Ministers of Finance meeting in Pretoria, South Africa on 8 August 2002 agreed
to strengthen regional integration through aligning the main indicators of economic
development to stabilise the regional economy and safeguard it from external shocks,
providing a predictable and attractive environment for business and investment. This
agreement on Macroeconomic Convergence aims for low, stable levels of Inflation;
sustainable Budget Deficits; minimal Public Debt; and equitable Current Account
Balances. In order to officially endorse macroeconomic convergence in the region, SADC
signed the MOU in 2002, which was annexed to the Protocol on Finance and Investment
in 2006.

The 22 SADC Summit was held in Luanda, Angola on 1-3 October 2002-2003
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2002, hosted and chaired by President Eng. José Eduardo dos Santos.

Ceremonial Handover
The ceremonial handover was introduced at the 22nd Summit when the
outgoing Chairperson, President Bakili Elson Muluzi of Malawi handed over the official
badge and gavel to President dos Santos.

Peace and Stability
The Summit welcomed the return of peace to Angola brought about by the ceasefire
agreement signed in April 2002 and the integration of Unita cadres into the national army 47
and civilian society; and also expressed support for the DRC government in building peace
and national reconciliation, pledging to support its efforts to rebuild the country and society.
The Summit was briefed on the situation in Zimbabwe, and particularly the land reform
programme. In addition to these briefings from the Heads of State, the Chairperson of the
Organ on Politics, Defence and Security Cooperation, President Joaquim Alberto Chissano
of Mozambique, presented a report on these and other developments, and the status of the
Protocol on Politics, Defence and Security Cooperation, with six ratifications to date.

African Union and NEPAD
The 22 Summit noted that at continental level, through collective efforts, remarkable
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progress has been achieved toward strengthening African unity, and a giant step has been
taken with the launch of the African Union in July 2002 in Durban, South Africa hosted
and chaired by President Thabo Mvuyelwa Mbeki, and the formal adoption of the
New Partnership for Africa’s Development (NEPAD). SADC leaders expressed their
full support for NEPAD, encouraging the “SADC Secretariat to submit to the
NEPAD Secretariat regional projects from priority sectors such as infrastructure,
water, market access and information technology.”
The SADC region hosted and chaired the transition period with the last OAU
Summit hosted by Zambia in 2001, the launch of the African Union in South Africa
in 2002, and the next AU Summit hosted by Mozambique in 2003.

Protocols
Twenty-one protocols have been concluded of which 10 have been ratified and entered
into force. Four more legal instruments were signed: Protocol on Extradition; Protocol on
Mutual Legal Assistance in Criminal Matters; Protocol on Forestry; and the Agreement
Amending the Protocol on the Tribunal.

GMOs
The SADC Council of Ministers established an Advisory Committee on Genetically
Modified Organisms (GMOs) to develop guidelines to assist Member States to guard