AZANIA Bank Limited has launched the five year - Medium Term Note (MTN) seeking to rise100bn/- in the next five years to finance strategic projects in various sectors of the economy.

To start with, the Capital Market and Securities Authority (CMSA) has approved the first batch of the MTN where the bank will rise 30bn/- with green shoe option of 15bn/-, at an attractive of 12.5 percent annual interest. 

The 30bn/- bond was unveiled in Dodoma yesterday by Finance Minister, Dr. Mwigulu Nchemba.

At the launch, Dr. Nchemba praised Azania Bank's board, management, and staff for supporting the government's efforts to finance strategic development projects through this four-year maturity bond. "Our role as the government is to keep improving the business environment so that institutions like Azania Bank can continue introducing innovative products and services that support national investment projects," he stated.

The Tier 1 bank, partially owned by the Treasury, aims to make economic participation accessible to Tanzanians. "This bond clearly targets ordinary citizens, as the minimum investment of 500,000/- is within reach for many," said Dr. Nchemba, highlighting the bond's competitive 12.5 percent annual yield.

Azania Bank's Managing Director, Esther Mang'enya, briefed the minister on the bond, which launched on the Dar es Salaam Stock Exchange (DSE) yesterday. She explained that this is Azania Bank's first bond issuance and that investors will receive interest payments every three months. "This bond offers one of the most attractive interest rates in the current market," she noted.

The bond includes a green shoe option of 15bn/- and is available at all Azania Bank branches, DSE stock brokers, and other agents. "The offering opened today and will close on December 6, after which it will move to the DSE's secondary market," Mang'enya added.

Capital Markets and Securities Authority (CMSA) Acting CEO, Alfred Mkombo, also spoke at the event, commending Azania Bank and lead sponsor NMB Bank Plc for introducing new investment options to the market. "This bond meets all regulatory standards, making it a reliable opportunity for investors," Mkombo assured, praising the Bank of Tanzania's role in supporting the country's financial markets.

Mkombo emphasized that banks like Azania play a crucial role in financing government projects, with the public actively participating. "CMSA is committed to ensuring investment instruments in the market offer favorable returns for investors," he said.