DSE rally fuelled by structural reforms

DAR ES SALAAM: THE Dar es Salaam Stock Exchange (DSE) has in just one year, experienced a recordbreaking rally driven by structural reforms and renewed investor confidence.

The remarks were made by DSE brokers while reflecting on the equity market’s performance during Mr Peter Nalitolela’s first year as Chief Executive Officer.

Advisory and Research Manager at Zan Securities, Mr Isaac Lubeja, reported that the DSE’s domestic market value rose by 16.8 per cent, adding 2tri/- to reach 14.2tri/-, while total market capitalisation surged by 24.3 per cent to 22.6tri/- as of August 22. Bond market trades reached 3.5tri/- already surpassing 2024’s full-year total of 3.1tri/-.

“The rally is driven by regulatory reforms and stronger investor participation,” said Lubeja, noting new trading rules introduced in June that improved market efficiency, liquidity and price discovery.

Alpha Capital’s Head of Business Development, Mr Geoffrey Kamugisha, said that while the rally builds on previous leadership foundations, Nalitolela’s reforms have reshaped market dynamics.

“Regulatory updates have streamlined trading, enhanced price transparency and boosted liquidity,” he said.

Mr Kamugisha also credited increased market access through mobile platforms, banking apps and improved network infrastructure for attracting a broader investor base.

“More participants mean better price discovery and greater investor confidence,” he added, while cautioning that price gains are more reflective of sentiment than company fundamentals.

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Wealth Capital Fund CEO, Beatus Mlingi, described Nalitolela’s leadership as transformational.

“He reactivated dormant accounts, updated outdated rules and introduced fairer pricing,” Mlingi said, citing key amendments to DSE Trading Rules and the rollout of 24-hour digital trading services.

Mlingi also praised the DSE’s cross-border listing initiative with Kenya and efforts to align with national priorities such as privatisation, capital formation and inclusive financial growth.

“These reforms have laid the groundwork for State Owned Enterprises to raise capital via listings and bonds. The DSE is now positioned for long-term sustainability and resilience,” he said.

With trading volumes already exceeding 2024 levels, the DSE is poised to close 2025 on a high note, marking a new chapter in its evolution as a key driver of Tanzania’s economic transformation.