News 

Saturday, May 28, 2016 

NMB bank promotes bond investment

DAR ES SALAAM, Tanzania - The National Microfinance Bank Plc (NMB) is issuing a 13% interest bond aimed at everyone who wishes to invest in NMB and earn an attractive return.  

According to NMB Managing Director Ineke Bussemaker, this is the first such bond to be issued by NMB and can be bought from any NMB branch or selected bond brokers with a minimum purchase of $227.4 (Tsh.500,000).

 “NMB is principally funded by retail deposits but there are other attractive funding options, with the NMB Retail Bond we look forward to raise Tsh.20 billion with a green shoe option of Tsh.5 billion,” said Bussemaker.

 The Managing Director noted that many investors have shown interest to invest in high quality bonds and they consider this to be a good opportunity to satisfy this need which will help stimulate the development of the local capital market and diversify the funding sources.

“This is an opportunity that allows us to mobilize funds that the bank can use to create new customer loans at favorable rates,” She commented. 

Dar es Salaam Stock Exchange (DSE) Project Manager for Business Development Patrick Masusa, said DSE is  delighted to welcome NMB as a new issuer on their Order Book for retail Bonds. 

He added this is very stimulating for the market to see such a high profile name continuing the expansion to the range of bonds available. 

Masusa further explained that NMB Retail Bonds are unique; for they are open for purchase to the general public from NMB’s largest network of branches across the country, and with the support of issuers like NMB they we look forward to growing the service further in the months and years ahead. 

The Capital Market and Securities Authority (CMSA) CEO Nasama Massinda said NMB bond will facilitate the development of a vibrant retail market in the country, 

She added that this type of a bond provides opportunities to small investors to invest in bonds in lower denominations, diversify their investments and trade in the bonds market thus providing needed inclusion and access using the bank’s easily accessible network.

By Emmanuel Kisima, Saturday, May 28th, 2016