Dar’s equity market withstands election shifts

DAR ES SALAAM: TANZANIA’S equity market has demonstrated a strong capacity to absorb capital adjustments with minimal disruption in the aftermath of the recent General Election, underscoring the depth and resilience of domestic liquidity.

Alpha Capital Head of Business Development and Customer Service, Mr Geofrey Kamugisha said the week immediately following the elections recorded a net foreign outflow of 1.96bn/- equivalent to 41.25 per cent of total equity turnover.

“The market’s ability to withstand recent bouts of foreign selling reflects that local capital is now better able to provide the stabilising counterweight and better provide the market with insulation from the volatile effects that can be created by foreign capital flows and foreign sentiment swings,” he said.

For the week ending October 31st, total equity turnover fell sharply by 68.33 per cent to 3.68bn/- , largely due to reduced trading days and the near complete standstill in activity immediately following the polls.

As economic activities normalised, Mr Kamugisha said the market regained its footing, with turnover rising 38.6 per cent in the following week to 5.1bn/-.

Price stability during the two-week election window was equally notable, 11 counters advanced, only four declined and the Tanzania Share Index (TSI) climbed 25.47 basis points, from 5102.31 on 27 October to 5127.78 on November 7th.

This quiet resilience underscores the growing role of domestic institutional and retail investors, whose participation now acts as a stabilising anchor during periods perceived to be of political uncertainty.

Examining market activity for the week ending November 7th, CRDB and NMB continued to dominate trading, jointly accounting for over 77 per cent of total equity turnover.

CRDB led with 3.41bn/- (66.88 per cent), followed by NMB’s 549.93m/- (10.77 per cent) and then NICO (352m/- ), TBL (263.38m/-) and TCC (183.36m/-).

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This renewed dominance by banking counters followed the release of Q3 2025 earnings, which reaffirmed the sector’s role as the market’s performance.

Zan Securities Advisory and Research Manager, Mr Isaac Lubeja said the total turnover for the week increased to 5.10bn/- from 3.75bn/-, representing a 36.16 per cent increase.

CRDB emerged as the dominant player, contributing 66.88 per cent of the total market turnover.

Close behind was NMB, which accounted for 10.77 per cent, NICO contributed 6.9 per cent of the total turnover, reinforcing their positions as notable movers in the week’s trading session.

On the price movement front, MKCB stood out as the week’s top gainer. Its share price appreciated by 10.71 per cent, closing at 2,790/- per share.

The PAL followed, recording an 6.45 per cent increase, closing the week at 330/- per share. On the loser’s side MBP recorded a decline, with its share price falling by 7.09 per cent to 655/-.

It was followed by DSE, which shed 5.69 per cent to close at 6,240/- per share and TCC which shed 5.69 per cent to close at 10,780/- per share.

In terms of market valuation, the exchange registered a decrease in both total and domestic market capitalisation.

Total market capitalisation is down by 1.06 per cent, to 21.48tri/-.

Similarly, domestic market capitalisation is down by 1.67 per cent, closing the week at 13.57tri/-.