BoT reopens 10-year treasury bond as investors seek long-term returns

 

By The Respondents Reporter

The Bank of Tanzania (BoT) has reopened its 10-year Treasury Bond, offering investors an opportunity to secure long-term returns through one of the government's fixed-income securities.

The auction, identified as Bond No. 699, Auction No. 2, is scheduled to take place on June 10, 2026, as the central bank continues to mobilise long-term financing while expanding investment opportunities in the domestic capital market.

The bond carries an annual coupon rate of 10.50 percent, with investors receiving interest payments twice a year on April 16 and October 16. The security will mature on April 16, 2036.

According to the BoT, investors participating in the auction will be required to pay accrued interest of Sh1.6110 for every Sh100 invested, reflecting interest accumulated since the previous issuance.

The minimum investment amount has been set at Sh1 million, allowing participation from a wide range of investors, including individuals, pension funds, insurance companies and other institutional investors.

The reopening of the bond comes at a time when the government is increasingly relying on domestic financial markets to support development financing while providing investors with relatively secure investment options that generate predictable income.

In a move aimed at broadening participation, the central bank has invited residents of member states of the East African Community (EAC) and the Southern African Development Community (SADC), as well as Tanzanians living abroad, to take part in the auction.

Treasury bonds have become increasingly attractive to investors seeking stable returns amid changing market conditions, with government securities regarded as among the safest investment instruments available in the country.

The latest offering is expected to attract strong interest from both local and regional investors looking to lock in long-term yields while contributing to the financing of Tanzania’s development agenda.

Interested investors can submit bids through authorised dealers and other approved channels before the auction date.