The I-Trust East African Community Large Cap Exchange-Traded Fund (ETF), the first regional ETF in East Africa, began trading on the Dar es Salaam Stock Exchange (DSE) on Tuesday after attracting investor applications worth TZS 54 billion, more than five times its initial TZS 10 billion fundraising target.
The offering drew around 4,500 investors, signaling rising demand for diversified and professionally managed investment products in Tanzania’s growing capital market.
Faiz Arab, chief executive officer of iTrust Financing, said the strong response reflects increasing investor confidence in transparent, regulated financial instruments that provide exposure to leading companies across the East African region.
“This milestone goes beyond a market listing,” Arab said. “It demonstrates our commitment to widening access to diversified investment opportunities and supporting regional economic growth.”
The ETF began deploying capital on Jan. 20, and its Net Asset Value (NAV) rose from 1,000 to 1,064 by Jan. 27, representing a gain of TZS 2.5 billion, or 6.49%, within its first week of operations, according to iTrust.
The fund’s launch aligns with Tanzania’s Development Vision 2050, which emphasizes the role of capital markets in mobilizing domestic savings, financing productive enterprises, and broadening citizen participation in economic expansion.
National Bank of Commerce (NBC), the ETF’s custodian, said it is responsible for safeguarding investor assets and ensuring compliance with Capital Markets and Securities Authority (CMSA) regulations.
NBC also noted its cross-border custody arrangements with Absa Kenya and Absa Uganda, aimed at facilitating secure regional investment access.
DSE officials described the listing as a key step in expanding Tanzania’s financial product offerings.
Emmanuel Nyalali, DSE’s chief business development officer, said the fund represents only the second ETF to be listed in the country and marks the exchange’s first listing of 2026.
“Exchange-traded funds are essential tools in modern capital markets,” Nyalali said, citing their role in improving liquidity, lowering costs, and supporting long-term wealth creation.
Chief executive officer of CMSA CPA. Nicodemus Nkama said retail investors accounted for 99.44% of participants, while local investors represented 99.75%, underscoring strong domestic interest in capital market instruments.
The ETF invests in major East African listed companies, including Safaricom, KCB Bank, Equity Group, CRDB Bank, NMB Bank, Vodacom Tanzania, MTN Uganda, Tanga Cement, Tanzania Cigarette Company, BAT Kenya, Stanbic Bank Uganda, and Bank of Kigali.
Safaricom holds the largest portfolio share, with a target weighting of 22.21%, followed by KCB Bank at 11.14% and NMB Bank at 10.21%, according to fund allocation data.
The minimum investment requirement of Sh100,000 was designed to broaden participation, particularly among young investors and women.
Market participants said the ETF’s secondary market listing allows investors who missed the initial offer to gain exposure, potentially improving market liquidity and encouraging wider capital market participation.