one party. The CMA was replaced by the present Multilateral Monetary Area (MMA) in February 1992, when Namibia formally joined the monetary union. In 1993 Namibia issued its own currency, the Namibian dollar. In 2002 a new revenue-sharing formula was introduced in SACU, which included a development component. In 2003 Swaziland reauthorized the use of the rand as legal tender in the interest of facilitating exchange between these countries. Institutional framework The currency agreement made between these countries is one of the most important issues in the agreement. As issued before, each country has the right to have its own national currencies. These currencies are only legal tender in their own countries. However, the South African rand is tender throughout the CMA. According to the agreement the CMA countries can have access to the South African financial markets, but only under some conditions. They can only have access to the money and capital markets through prescribed investments or approved securities that can be held by financial institutions in South Africa in accordance with prudential regulations between the LNS countries. Compensation payments are based on the formula equal to the product and the volume of rand estimated to be in circulation in the member country concerned. The ratio is 2/3 of the annual yield according to the most recent South African government stock. This ratio was established on the assumption of a portfolio of reserve assets comprising both long-term and short-term maturities, assuming that it would be less than long-term. Gold and foreign exchange transactions are two issues in the trade. The matter is that they can authorize foreign transactions of local origin. These transactions will have the same regulations as the ones effecting from transactions between the CMA and South Africa. Gold and exchange receipts from locals are requirements for the local surrender. Also, there are no restrictions on international transactions between non-residents. See also African Monetary Union Eco, another attempt at an African common currency, within the ECOWAS community. The West African CFA franc and Central African CFA franc (C.F.A.) are other existing African currency unions. Literature References Currencies of Africa Currencies of the Commonwealth of Nations Economy of South Africa Currency unions Lesotho–South Africa relations Namibia–South Africa relations Eswatini–South Africa relations