DSE turnover up 45.5pc week-on-week

DAR ES SALAAM: THE Dar es Salaam Stock Exchange (DSE) closed the week with market activity showing a rise in activity compared to the previous trading week.

Total turnover for the week increased to 30.023bn/-, representing a 45.56 per cent increase from the prior week’s turnover of 20.6bn/-.

TBL emerged as the dominant player, contributing 58.7 per cent of the total market turnover, attributed to several per-arranged block trades on the counter.

Close behind was CRDB, which accounted for 34.98 per cent, NMB and AFRIPRISE contributed 0.85 per cent and 0.59 per cent of the total turnover, respectively, 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 16.67 per cent, closing at 1,540/- per share. SWISS followed closely, recording a 14.01 per cent increase, closing the week at 1,790/- per share.

On the loser’s side AFRIPRISE recorded a steep decline, with its share price falling by 5.88 per cent to 400/-.

It was followed by TBL, which shed 3.89 per cent to close at 9,130/- per share and DCB which had no change in price.

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

Total market capitalisation rose by 1.9 per cent, to 21.144tri/-. Similarly, domestic market capitalisation rose by 2.94 per cent, closing the week at 13.84tri/-.

Key benchmark indices All Share Index (DSEI) closed at 2,466.71 points increasing by 1.98 per cent Tanzania Share Index (TSI) closed at 5,228.43 points decreasing by 2.9 per cent.

Sector Indices Industrial & Allied Index (IA) closed at 4,776.03 points, down by 1.07 per cent. Bank, Finance & Investment Index closed at 8,763.56 points, up by 6.2 per cent. Commercial Services Index closed at 1,585.01 points, up by 3.2 per cent.

Highlights: Debt Market 13.5 per cent -10-year Treasury bond no: 674 On Wednesday 30th July 2025, the Central Bank was in the market offering 146.480bn/- to investors for the 10-Year Treasury bond offering 13.5 per cent coupon rate annually.

The auction was subscribed by 124.69 per cent, the auction received bids totalling to 182.651bn/- and accepted bids worth 158.220 billion.

This auction recorded strong investor interest, with a subscription rate of 124.69 per cent, reflecting a continued appetite for longer-term bonds.

Despite the high demand, the Bank of Tanzania (BoT) accepted only 86.62 per cent of the bids submitted.

The amount offered was slightly reduced to 146.480bn/-, while total bids rose to 182.651bn/- demonstrating increased investor participation.

Notably, this auction followed a downward adjustment in the coupon rate from 14 to 13.5 per cent.

The minimum successful price declined to 97/3515, down from the premium price of 101/7991 in the previous issuance.

Despite this significant drop in the minimum price, the weighted average yield to maturity decreased to 13.7356 per cent, a decline of 52.376 basis points from the previous auction’s yield of 14.25936 per cent.

The inflation rate for June 2025 stood at 3.3 per cent. Secondary Market Activity The secondary bond market posted a turnover of 13.49bn/-, down from 92.8bn/- in the previous week—a decrease of 85.5 per cent.

Activity was primarily concentrated in the long-term bonds; 20-year and 25-year bonds and the SAMIA infrastructure bond.

Market Outlook Looking ahead, we anticipate heightened activity in the market, driven by the strong Q2 performance results posted by CRDB and NMB.

CRDB reported a 26 per cent year-onyear increase in profit after tax for H1 2025, reaching 346bn/-, up from 275bn/- in H1 2024.

Meanwhile, NMB achieved a 14 per cent increase, with H1 profit after tax climbing to 359bn/-, compared to 314bn/- during the same period last year.

The market has largely rebounded from the temporary price dip observed following the implementation of the new trading rules in June.

Going forward, we anticipate continued bullish momentum, particularly on selected banking and industrial counters.

In the fixed income space, the upcoming 25-year treasury bond auction scheduled for 6th August is expected to attract strong investor demand.

This reflects a continued appetite for discount-driven bids, supported by the central bank’s accommodative stance in accepting higher-priced offers.

We project yields to range between 14.2 and 14.35 per cent.