Types of Securities Traded at Dar es Salaam Securities Exchange,Tanzania


Securities Traded at Dar es Salaam Securities Exchange include equity, bonds, and collective investment schemes.

Below is full explanation of the securities

The Capital Market

This is where financial instruments for raising capital are traded. Instruments like stocks and bonds are traded in this market.

Treasury Bonds

The Treasury bonds market has four maturities of 2, 5, 7 and 10 years that are issued in the primary market by the Bank on behalf of the Government and are dominated by pension funds. The auction is held once every month. The bonds are listed at the Dar es Salaam Stock Exchange (DSE). Secondary market trading of government bonds has not been vibrant.

Corporate Bonds

Six corporate bonds have been issued and listed at DSE. These are EADB (bond worth TZS 15.0 billion), PTA Bank (TZS 15.0 billion), Barclays Bank Tanzania Ltd (TZS 10.0 billion), Standard Chartered Bank Tanzania Ltd (TZS 8.0 billion), BIDCO Oil, and Soap Co. Ltd.

Equity Market

The equity market is currently consisting of thirteen companies listed at DSE. Participation of non-residents in IPO is limited to 60 percent of the shares. The listed companies are TOL Gases Ltd, Tanzania Breweries Ltd, Tanzania Tea Packers Ltd, Tanzania Cigarette Company, Tanga Cement Company Ltd, Swissport Tanzania Ltd, Tanzania Portland Cement Ltd, Kenya Airways Ltd (cross-listed), East Africa Breweries Ltd (cross-listed), Jubilee Holdings Ltd (cross-listed), Dar es salaam Community Bank (DCB), NICOL and National Microfinance Bank (NMB) which is the first bank to be registered on the DSE.

Collective Investment Schemes

These schemes gives an opportunity for the majority of Tanzanian citizens to invest, take a stake in privatization, further participate in the capital markets and obtain a return on their investments. Moreover, they are structured to provide opportunities to both low and high income Tanzanian individuals as well as registered based organisations whose beneficiaries are Tanzanians to participate in it. These are Umoja Fund, TCCIA Investment Company, and National Investment Company (NICOL)