DAR ES SALAAM: CAPITAL markets are expected to play an increasingly important role in financing the country's long-term development agenda, as the government moves to reduce reliance on public resources and mobilise more private investment for strategic projects.
Speaking during the 30th anniversary celebrations of the Dar es Salaam Stock Exchange (DSE) on Friday, Minister for Finance, Ambassador Khamis Mussa Omar, said achieving the country's long-term development ambitions requires a strong financial sector and efficient capital markets capable of attracting investment, creating jobs and supporting economic growth.
Mr Mkama said CMSA will continue implementing risk-based supervision to safeguard investors and ensure compliance with capital market laws and regulations.
He said the government will continue implementing measures aimed at improving the investment climate and strengthening the regulatory environment to enable capital markets to mobilise long-term savings and channel them into productive sectors.
"To achieve these ambitions, the country requires substantial investment across key sectors. This calls for a strong financial sector and capital markets capable of mobilising long-term savings and directing them into productive investments," he said.
Ambassador Omar added that the government will continue strengthening the regulatory framework through the Capital Markets and Securities Authority (CMSA) and the DSE by enhancing investor protection, simplifying investment procedures and ensuring the market remains transparent, efficient and credible.
He said the country is strategically positioned to become a financial services hub for Eastern and Southern Africa and the continent at large, given its geographical location and growing economy.
The DSE, which was established in 1996 and became operational in 1998, has evolved alongside the country's transition to a marketbased economy and broader reforms aimed at promoting private sector participation.
Over the past three decades, the exchange has facilitated the listing of 28 companies, including 22 domestic firms and six crosslisted foreign companies.
It has also mobilised more than 1.585tri/- in equity capital and achieved a market capitalisation of 35.175tri/-. In addition, the exchange has supported the issuance of more than 2.08tri/- and 186 million US dollars in corporate debt instruments, including social and green bonds, while providing a platform for government financing through Treasury securities, corporate bonds and collective investment schemes.
Speaking at the event, CMSA Chief Executive Officer, Mr Nicodemus Mkama, said the growth of the capital market reflects the country's commitment to building a vibrant financial sector capable of supporting economic growth and development financing.
He said the number of licensed capital market service providers has increased from six when the exchange was established in 1996 to 105 today, describing the expansion as a major milestone for the industry.
Mr Mkama said CMSA will continue implementing risk-based supervision to safeguard investors and ensure compliance with capital market laws and regulations.
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"The authority will also intensify investor education programmes to increase public awareness of investment opportunities available through the capital market," he said.
Earlier, DSE Chief Executive Officer, Mr Peter Nalitolela, said the establishment of the exchange followed the country's transition to a market-driven economy and the implementation of economic reforms.
He said Tanzania Oxygen Limited (TOL) became the first company to be listed on the exchange, while the privatisation and listing of major state-owned enterprises laid the foundation for the country's modern capital market.
Mr Nalitolela also highlighted the exchange's digital transformation, noting that DSE now has nearly 870,000 investment accounts, with more than 266,000 opened through mobile platforms.
According to him, the majority of new investors are young Tanzanians aged between 21 and 30 years, reflecting increasing financial inclusion and growing public confidence in the country's capital market.