Dar es Salaam. The week-on-week turnover at the Dar es Salaam Stock Exchange (DSE) extended its falling spree last week as investors start shifting their focus to year-end and new-year budgets.
Turnover dropped by 78 per cent to Sh2.74billion during the week ending Friday, November 13, from Sh12.55 billion during the week ending November 6. "It is that time of the year when individual investors start budgeting for upcountry trips to join their kith and kin during the festive season….they are also thinking about paying school fees in January while their institutional counterparts also have some obligations to meet for their employees and for the state," said the Zan Securities Limited chief executive officer, Mr Raphael Masumbuko.
Banks, Finance and Investment sector was the most active segment of the bourse last week, accounting for 81 per cent of the total turnover, with CRDB Bank taking the lion's share. The bank accounted for 76.16 per cent of the bourse's total turnover, thanks to the bank's recent mouth-watering financial results.
The bank's financial statement for the first nine months of the current calendar was encouraging.
CRDB Bank's cumulative profit for the nine months – between January and September 30, 2015 - was Sh103.69 billion compared with Sh71.85 billion recorded in the same period last year. The amount surpassed the one registered during the whole of 2014 by Sh7.69 billion.
For the entire 2014, CRDB Bank earned Sh96 billion as profit. The bank's managing director, Dr Charles Kimei, told The Citizen two weeks ago that the massive increase in profits is an indication that the management has been investing in long-term profitable ventures that are now showing positive outcomes.
"The statement has had an impact on CRDB bank's performance at the bourse…pundits might have also noticed that the price for a CRDB Bank share has improved during the past few weeks," said Mr Masumbuko, in apparent reference to the fact that the bank's share went for Sh385 during the last week in October but went for Sh410 on Friday last week.
Key benchmark indices ended in divergent directions, with the Tanzania Share Index (TSI) closing the week at 4,669.93 points, being 0.71 per cent higher than the previous week. While the All Share Index (DSEI) dived 3.06 per cent to close at 2,339.99 points. Looking forward, analysts believe a recent Sh300/share dividend announcement by Tanzania Breweries Limited Group will stimulate trading activities at the bourse.
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