This study attempts to identify the principal challenges to economicrnintegration in the sub-region of IGAD. The study argues that theories ofrneconomic integration that are relevant to understanding the roadblocks to thernattempts aimed at economic integration in developing countries in general andrnin the IGAD sub-region in particular require a merger of the theories ofrnfunctionalism, neo-functionalism and dynamic Customs Union and exogenousrnfactors.rnThe study tries to set out the main conditions that are necessary for successfulrneconomic integration among developing countries which are explored fromrnthe past experience of regional and sub-regional economic groupings withinrnand outside the continent of Africa. These are: the need for the existence of atrnleast one â€˜big brotherâ€™ in the economic bloc and/or larger number ofrnparticipating member states; de-link from North and encourage South-Southrncooperation; the promotion and development of infrastructure andrncommunications; the need for sustained and irreversible commitment on thernparts of the participating governments to honor financial contribution,rnempower the sub-regional organization and incorporate regional polices intornnational programmes; and the need for the existence of stability, compromise,rntolerance and political harmony, and confidence among member states.rnThe assessment of this study reveals the prevalence of major challenges thatrnwork against the attempt to effective economic integration in the IGAD subregion. The principal challenges identified are: excessive dependence ofrnmember states on external agents ( the Western countries and theirrninstitutions), the impact of the triad trading blocs ( Europe, America, EastrnAsia), the incompatibility of the Lome Convention and Structural AdjustmentrnProgrammes (SAPs) on the promotion of regionalism, poor communication.rnperformance, lack of sustained and irreversible commitment by thernparticipating governments, and mistrust, suspicion and lack of confidencernbetween and among the partners.rnThe conclusion that emerges from such analysis is that the economicrnintegration attempt in the IGAD sub-region is far from success. Thus, thisrnstudy stresses that if genuine and sustainable economic integration is to bernpursued in the sub-region, IGAD needs to minimize its ties with the North andrnenhance South-South cooperation, ensure the harmonization of national andrnsub-regional policies, promote an active involvement of people in therneconomic integration process, make sustained and irreversible commitment onrnthe progress made, develop a climate of trust and confidence among thernnations and populations, and make short-term compromises in the interest ofrnlong-term goals and benefits.