DAR ES SALAAM: The People’s Bank of Zanzibar (PBZ) has called on Tanzanians to invest in its new bond product, Zanzibar Sukuk, as a means of economic empowerment.
Speaking at an Iftar event in Dar es Salaam, PBZ Managing Director Arafat Haji emphasized the benefits of the bond, which aligns with Islamic financial principles.
Haji highlighted that the government of Zanzibar, under the leadership of President Dr. Hussein Ali Mwinyi, has introduced this bond to encourage citizens to invest in the country’s development.
The Zanzibar Sukuk bond offers an attractive profit rate of 10.5 percent per year in Tanzanian shillings and 4.2 percent per year in US dollars.
“The purpose of this bond is to raise funds for key development projects in Zanzibar, including laboratories, airports, ports, and other infrastructure projects,” he stated.
Haji explained that investors will receive bi-annual profit payments, meaning they will be paid every six months. After seven years, upon maturity of the bond, investors will receive 100 percent of their initial investment, along with the annual profits.
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Additionally, he noted that investors can use their bond certificates as collateral to secure loans from other financial institutions, enabling them to finance personal or business development projects.
Sheikh Walid Alihad, Head of the Dar es Salaam Region and Chairman of the Peace Committee, commended the initiative, emphasizing the importance of economic empowerment.
“The biggest challenge people face today is financial stability. Investments like these are crucial because they support development across industries, education, and religious institutions,” he said. “I congratulate the Revolutionary Government of Zanzibar for launching this Sukuk bond, which not only supports national development but also brings blessings.”
Dar es Salaam Mayor Omary Kumbilamoto echoed this sentiment, linking the bond to broader economic initiatives. He mentioned that President Samia Suluhu Hassan is committed to ensuring that Dar es Salaam remains active 24 hours a day, allowing traders to operate round the clock. He urged PBZ to take advantage of this economic expansion by promoting investments in the Sukuk bond.
