The Tanzanian government has announced plans to review the law requiring telecom companies to list 25% of their shares on the Dar es Salaam Stock Exchange (DSE), the Citizen reported on February 22.

Communications and Information Technology Minister Jerry Silaa stated that authorities would assess the law’s impact, noting that the performance of listed firms has been weaker than expected.

Currently, only Vodacom Tanzania, a subsidiary of South Africa’s Vodacom Group, has met the listing requirement set out in the Electronic and Postal Communications Act (Epoca) of 2020 and the Finance Act of 2026. Other telecom operators are still working towards compliance.

Silaa, speaking on February 20 during discussions on Tanzania’s ten-year digital economy strategy (2024-2034), said the government would collaborate with stakeholders to determine a more effective regulatory framework.

“We create laws to make things easier, not to restrict ourselves… I believe now is the right time for us to sit down and design a better framework for these companies to operate,” he said, as quoted by the Citizen.

Policy shift amid market challenges

Tanzania’s review highlights the challenges of enforcing stock market participation in the telecom sector, where major players are largely foreign-owned.

The listing rule aimed to boost transparency, increase local investment, and improve tax compliance. However, with most companies yet to comply and market conditions proving difficult, the government is considering a shift towards a more flexible, market-driven approach, Mopawa reported on February 22.

Tanzania Communication Regulatory Authority (TCRA) Director-General Jabiri Bakari confirmed that the listing requirement remains in force, with companies progressing at different speeds. DSE regulations mandate listed firms to publish annual financial reports, ensuring greater oversight.

Zan Securities CEO Raphael Masumbuko underscored the importance of transparency in tax assessment and investment opportunities.

“Companies listed on the stock exchange can become major taxpayers due to increased efficiency and transparency,” he said as quoted by the Citizen.