Dar es Salaam. The Tanzania Insurance Regulatory Authority (Tira) and the Dar es Salaam Stock Exchange (DSE) have signed a landmark Memorandum of Understanding (MoU) aimed at strengthening cooperation between the insurance and capital markets sectors, with a focus on innovation, financial inclusion, and investor education.

The agreement, signed on Friday, July 31, seeks to create a more enabling environment for developing new financial products—especially insurance solutions that can be listed on the stock market—while also promoting transparency and improving public understanding of financial services.

Commissioner for Insurance, Dr Baghayo Saqware, described the partnership as a strategic step to enable insurance companies to raise capital through the DSE, support supervision through improved data sharing, and ensure consumer protection across a growing and dynamic market.

“This MoU is a timely intervention to ensure insurance firms can access long-term capital, improve their solvency, and contribute more meaningfully to Tanzania’s capital markets,” said Dr Saqware.

“Together, we aim to strengthen the flow of regulatory information, co-host professional trainings, and carry out joint research to build a resilient financial ecosystem.”

The partnership comes at a time of rapid expansion in Tanzania’s insurance industry. According to Tira’s latest data, the number of insured individuals rose from 17 million in 2022 to over 25 million in 2023, with health insurance coverage reaching 37 percent of the population.

Gross Written Premiums (GWP) increased from Sh1.15 trillion in 2022 to Sh1.42 trillion by mid-2024, while total claims paid rose from Sh389 billion to Sh592.1 billion over the same period—an indication of growing trust in the sector.

The industry’s total assets climbed to Sh2.34 trillion in 2024, up from Sh1.28 trillion in 2021, and shareholders’ capital nearly doubled to Sh847 billion. Insurance penetration also improved significantly, reaching 2.01 percent of GDP in 2023, up from 0.56 percent in 2021.

The number of licensed insurance service providers more than doubled—from 993 in 2021 to 2,208 by 2024—while total employment in the sector grew to 6,916 jobs.

DSE chief executive officer Mr Peter Nalitolela said the MoU reflects a broader strategic effort to align capital markets with Tanzania’s evolving financial services landscape.

“This partnership is not just about regulation—it’s about transformation,” Mr Nalitolela said.

“We are creating a roadmap to link insurance and capital markets in ways that promote financial inclusion, improve risk management, and support Tanzania’s journey toward Vision 2050.”

He noted that the collaboration would also focus on talent development, institutional capacity building, and convening cross-sectoral forums to spark innovation and expand investor confidence.

“In the long run, we want to contribute to a stable and predictable macroeconomic environment that encourages long-term investments, protects consumers, and unlocks economic opportunities for all,” he addedRead More