Africa-Press – Tanzania. THE Bank of Tanzania (BoT) continues to sell long-term and short-term government securities as a means for the government to borrow funds from the domestic market.
Eligible investors include institutions, groups, banks, and individual citizens.
According to the Bank of Tanzania, long-term securities—commonly known as Treasury bonds—have a maturity period exceeding one year. These securities are sold in the primary market through competitive and non-competitive auctions conducted by the BoT, before later being traded in the secondary market at the Dar es Salaam Stock Exchange (DSE).
The Bank explained that investors can purchase Treasury bonds through authorized agents, including licensed commercial banks and stock market brokers supervised by the Capital Markets and Securities Authority (CMSA).
The minimum investment amount for long-term Government securities is 1,000,000/-.
To begin investing, an investor is required to open a special investment account known as a Central Depository System (CDS) Account, which stores all records and information related to the investment.
Additionally, the Bank emphasized that opening this account is free of charge. However, an investor must provide a national identification card (NIDA), a Taxpayer Identification Number (TIN), and two passport-size photographs.
Investors in long-term Government securities receive interest payments (coupons) twice a year, which the Bank of Tanzania deposits directly into their bank accounts as specified during registration.
