MWE Correspondent
Tanzania’s debut offshore bond denominated in the Tanzanian shilling is expected to unlock thousands of new jobs and attract fresh international investment, marking a milestone in the country’s efforts to deepen its capital markets and accelerate private sector-led economic growth.
Speaking at the bond’s listing ceremony on the London Stock Exchange, Jorge Familiar said the transaction could help generate between 13,000 and 21,000 jobs by expanding access to affordable financing for Tanzanian businesses.
Rather than viewing the bond as simply another financial instrument, Familiar described it as an investment designed to improve livelihoods across the country.
“This is really about changing people’s lives, not just about issuing a bond or securing the lowest possible funding cost,” he said.
The offshore bond, issued in Tanzanian shillings, is expected to increase the availability of local currency financing, allowing businesses to borrow without exposing themselves to the risks associated with volatile foreign exchange markets.
Economists say currency fluctuations have long been a challenge for businesses in many developing economies, particularly those that generate revenue in local currencies but borrow in foreign currencies. By raising funds directly in Tanzanian shillings, the initiative is expected to reduce those risks while giving companies greater certainty when planning investments, expanding operations and creating employment.
Familiar said the transaction also demonstrates how multilateral development institutions can bridge the gap between international investors seeking long-term opportunities and developing economies looking to mobilize capital for sustainable growth.
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Beyond financing businesses, the bond is expected to strengthen Tanzania’s domestic capital market by increasing international confidence in the country’s financial system and broadening the investor base for future issuances.
The successful listing on the London Stock Exchange places Tanzania among a growing group of emerging economies that have tapped international capital markets through local-currency-denominated bonds—a financing model increasingly viewed as a safer and more sustainable alternative to borrowing in foreign currencies.
Financial analysts say the move sends a positive signal to global investors at a time when Tanzania continues to implement economic reforms aimed at improving the investment climate, expanding industrial production and supporting long-term infrastructure development.
The issuance also reflects growing confidence in Tanzania’s macroeconomic outlook, with investors increasingly viewing the country as one of East Africa’s most promising destinations for long-term capital.
If the projected employment gains materialize, the bond will represent more than a financial milestone. It could become a catalyst for business expansion, greater private sector participation and broader economic opportunities, reinforcing Tanzania’s ambition to position itself as one of Africa’s fastest-growing investment destinations.
