Government-guaranteed Treasury bonds are increasingly the preferred asset in Tanzania's main stockmarket in the wake of the coronavirus pandemic as more investors move away from stocks to the more risk-free option.
Treasury bonds traded at the Dar es Salaam Stock Exchange (DSE) were over four times higher in value than total shares traded in over-the-counter deals involving listed entities at the bourse by mid-2021, with the Bank of Tanzania (BoT) attributing this to an increase in perceived equity risks all-around due to the global and domestic economic slowdown caused by Covid-19.
