Foreign investors offloaded shares worth 6.9bn/- on the Dar es Salaam Stock Exchange (DSE) at the start of this week, marking a significant move that accounted for nearly 50 percent of the total value of foreign sales recorded since the beginning of the second quarter.

According to the DSE market report, the selloff was largely executed through block trades on the pre-arranged market board, particularly on the Kenya Commercial Bank (KCB) and Tanzania Cigarette Company (TCC) counters. All shares sold by foreigners were absorbed by local investors, reflecting strong domestic demand.

On the KCB counter, 400,000 shares valued at 438m/- were sold in two block deals at a price of 900/- per share. Additionally, the KCB counter saw another 100,000 shares traded on the normal market board. On the TCC counter, 900,399 shares valued at 6.3bn/- were transacted in five block deals at a price of 16,200/- per share—indicating high institutional-level trading activity.

Another block transaction occurred on the Tanga Cement Company Limited (TCCL) counter, where 32,000 shares changed hands at a price of 1,800/- per share, also on the pre-arranged market board.

Since the beginning of the second quarter, foreign investors have sold shares valued at 13.5bn/-, representing 28.13 percent of the total value of shares traded over the period. In contrast, foreign purchases have amounted to only 1.1bn/-, resulting in a net foreign outflow of 12bn/-. This net outflow accounts for approximately 25 percent of the total market turnover, which reached 48bn/- by Monday.

The substantial foreign selloff—mainly on high-value counters—indicates a profit-taking trend or portfolio realignment by offshore investors. However, the consistent absorption by local investors suggests growing confidence in the domestic market and its liquidity strength.

Meanwhile, the DSE has continued to register positive investor sentiment, with paper wealth increasing by nearly 800bn/- since the start of May. The total market capitalisation rose to 19.8trn/- from 19trn/- at the end of April, primarily driven by price appreciation on both local and cross-listed counters.

Local investors have particularly benefited, with their collective market wealth increasing by 200bn/- during the current quarter, owing to rising share prices in several local counters.

Among the week’s active counters was CRDB Bank, which traded 450,501 shares worth 356.8m/- at prices ranging between 780/- and 800/- per share in 855 deals. Afriprise also saw activity, trading 32,760 shares valued at 10.7m/- in 147 deals, at a weighted average price of 295/- per share.

Tanzania Portland Cement Company (TPCC) registered trades of 5,116 shares worth 28m/- in 14 deals, while DCB Bank transacted 27,201 shares valued at 3.3m/-, with prices ranging between 120/- and 125/- in 89 deals.

Other active counters during the week included the self-listed DSE, MBP, NICO, MUCOBA, MKCB, MCB, NMB, PAL, TBL, SWISS, and VODA—demonstrating a broad-based participation across various sectors.

As foreign investors continue to reduce exposure on select counters, market analysts will be watching closely to assess whether this trend signals short-term profit-taking or a longer-term portfolio adjustment amid shifting global risk appetites.