The East African Community (EAC) is an intergovernmental organization comprising six countries in East African states, Burundi, Kenya, Rwanda, Tanzania， Uganda and South Sudan. In 1977 the East African Community collapsed after ten years. The causes for the collapse included:-
1. Demands by Kenya for more seats than Uganda and Tanzania in decision makingorgans.
2. Disagreement with Ugandan dictator Idd Amin and disparate economic system ofsocialism in Tanzania and capitalism system in Kenya.
3. Unequal distribution of social services, the problem of the distribution of differentservices, the distribution was more beneficial to Kenya than Uganda and Tanzania.
4. The ideological disparity between the three countries, Tanzania self reliance andsocialism, Kenya capitalist ideology and Uganda fascism during Idd Amin
5. The organization had its roots from colonial period nothing changed fundamentally thatBritain went on benefiting through Kenya.
6. The East African Bank failed a balance development of industries in the three countriesKenya benefited more than Tanzania and Uganda in income tax and custom duties.
7. Currency differences the government restricted free transfer and exchange of currency.This discourages interstate transaction in goods.