iTrust Bond makes history on DSE,raises TZS 114.12 Billion in record-breaking offer

BY DIRAMAKINI

TANZANIA'S capital market has reached another major milestone after iTrust Finance Limited's iTrust Bond was officially listed on the Dar es Salaam Stock Exchange (DSE) on July 8, 2026, following a record-breaking public offering that raised more than TZS 114.12 billion against an initial target of TZS 15 billion.

The overwhelming investor response, representing 760.78 percent of the original target, has made the iTrust Bond the most successful corporate bond issuance in Tanzania's capital market history, surpassing the previous record held by First Housing Finance Limited's MAKAZI Bond.

Speaking during the listing ceremony, the Chief Executive Officer of the Capital Markets and Securities Authority (CMSA), CPA Nicodemus D. Mkama, described the achievement as a clear demonstration of growing investor confidence in Tanzania's capital markets and the supportive policy and regulatory environment created by the Government.

Mkama said the iTrust Bond had set three significant milestones. First, it is the first bond to be listed on the DSE by a company licensed by CMSA as both a Broker/Dealer and a Fund Manager.

Second, subscriptions received during the first issuance exceeded the value of the company's entire TZS 100 billion Medium-Term Note (MTN) Programme, which had originally been scheduled to be issued in four tranches over four years.

Third, the bond achieved subscriptions worth TZS 114.12 billion, equivalent to 760.78 percent of the planned TZS 15 billion, making it the highest-performing corporate bond ever issued in Tanzania.

"The success of the iTrust Bond reflects the growing confidence investors have in both iTrust Finance Limited and Tanzania's capital markets," Mkama said.

He attributed the achievement to several reforms aimed at deepening the capital market, including the removal of withholding tax on corporate bond interest, the reduction of the minimum investment threshold from TZS 1 million to TZS 500,000, quarterly coupon payments instead of semi-annual payments, and increased use of digital investment platforms.

Mkama also noted that nearly 89 percent of all investment applications were submitted through digital channels, with the iTrust App alone accounting for more than 71 percent of total applications.

He added that the listing has increased the value of Tanzania's corporate bond market by 5.46 percent, raising its total market value from TZS 2.09 trillion to TZS 2.20 trillion.

The Chief Executive Officer of iTrust Finance, Faiz Arab, said the strong subscription levels demonstrate increasing public confidence in long-term investment opportunities available through Tanzania's capital market.

According to Arab, 66.66 percent of investors were retail investors, while 33.34 percent were institutional investors.

He further revealed that 98.82 percent of investors were Tanzanian residents, with foreign investors accounting for only 1.18 percent, highlighting strong domestic participation.

Arab said digital investment channels played a critical role in the bond's success. Approximately 58 percent of all applications, valued at TZS 66 billion, were submitted electronically, while the iTrust App alone processed applications worth TZS 54 billion, representing 47 percent of the total amount subscribed.

Following the overwhelming demand, CMSA approved iTrust Finance's request to accept the full amount subscribed, allowing all qualifying investors to receive 100 percent of their requested allocations.

The four-year bond offers an annual coupon rate of 13 percent, payable quarterly, with a minimum investment amount of TZS 500,000.

Arab said proceeds from the bond will be used to expand the company's digital investment platforms, strengthen its financial services, and grow its securities-based lending business.

Representing the Chief Executive Officer of the Dar es Salaam Stock Exchange, Ally Othman said the successful issuance demonstrates that Tanzania's capital market has matured into a trusted platform for mobilising long-term capital.

He noted that although the bond targeted TZS 15 billion, investor subscriptions exceeded TZS 114 billion, reflecting strong confidence in both iTrust Finance and Tanzania's capital market.

Speaking on behalf of CRDB Bank Plc, the lead transaction adviser, Alexander Ngusaru said the successful transaction demonstrated the capability of Tanzanian financial institutions to structure and execute sophisticated capital market transactions that meet international standards.

Meanwhile, iTrust Finance Board Chairman Aunali Fidahussein Rajabali thanked CMSA, DSE, CRDB Bank, legal advisers, reporting accountants, investors and the company's staff for their contribution to the historic achievement.

He reaffirmed iTrust Finance's commitment to working closely with regulators and market stakeholders to develop innovative investment products that will expand financial inclusion, increase investment opportunities for Tanzanians and support long-term economic growth.