DSE second window to start soon

The Ministry of Finance and Economic Affairs said the commencement of Enterprise Growth Market (EGM) will be known next month.

The (outgoing) Minister for Finance, Mr Mustafa Mkulo, said the 'modified' regulations are expected to be approved this month to trigger the establishment of Enterprise Growth Market Advisor (EGMA).

"Technocrats are finalising the recommended changes on the regulations and will be gazetted this month... I want to incorporate the commencement date of the EGM in this year's budget speech," Mr Mkulo told the 'Daily News'.

The minister was the chief guest at the farewell and welcoming function for Capital Market and Securities Authority (CMSA) chairperson and CEO on Wednesday night.

The out-going Chairman is Dr Idris Rashid and CEO is Dr Fratern Mboya, while the incoming Chairman is Ms Grace Rubambey and CEO is Ms Nasama Massinda. 

The minister, apart from showering praise to Dr Mboya and Dr Rashid, asked the CMSA new team to forward their plans and budget for this year later this month to enable him incorporate it in this year's government budget.

"The government is keen to see capital markets being fully utilised by Tanzanians and foreigners in raising capital at all levels... (especially) the newly emerging sectors like gas, oil and mining," Mr Mkulo said.

He urged CMSA to increase its education and awareness fund so as to reach many would-be capital seekers to Dar es Salaam Stock Exchange (DSE) hence attracting portfolio investments and not only waiting for direct investments.

The New CMSA Chairperson, Ms Rubambey, said companies in telecoms, power generating, mining and other sectors should consider raising capital through local capital markets.

She said: "The government through the Ministry of Finance will continue to support the capital markets because it is  aware of its contribution to economic development".

Dr Mboya said his success at the CMSA helm was not without his Chairman Dr Rashid and the new chairperson Ms Rubambey. He left CMSA to open his EGMA firm.

The new chair and CEO were among the team that was directly responsible for creation of the CMSA in mid 1990s. Dr Rashid, the former central bank governor, was also the key person in the creation of the authority that was a unit at BoT.

CMSA has picked four EGMA firms, but they have expressed concern over down payment capital of 2bn/- in cash, saying the condition is prohibitive and unrealistic. They have instead asked for an insurance bond of equivalent amount.An industry source said the Ministry of Finance is  amending the 2bn/- capital clause.
Source: The Daily News,www.dailynews.co.tz, reported by Abduel Elinaza

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