Political changes in South Africa and the worldwide trend towards formation of trade blocs make it necessary to study prospects for closer future economic co-operation and integration in Southern Africa. A review of past integration attempts indicates the need for all major Southern African regional bodies to reassess their functions and roles. An agenda of issues which must be addressed in the formation of a possible Southern African Economic Union (SAEU) - with South Africa as the potential engine of economic growth - is discussed. Closer integration, if merited, should probably occur between economies that are ready.