Determinants of Stock Market Financial Performance among Listed Firms in Tanzania

Abstract

Aims: Study examined the determinants of stock market financial performance in Tanzania in a case of 28 listed firms’ panel data. The general objective of study was to examine determinants of stock market financial performance in Tanzania in a case of 28 listed firms Study employed institutional theory. Study Design: Study used quantitative research design. Methodology: Study used secondary panel data of 140 observation for a sample of 28 listed firms on Dar es Salaam Stock Exchange since 2020-2024. Data were analysed using panel regression models, fixed effects model recommended from Hausman test and other model diagnostics. Ethical considerations were observed using publicly available financial data. Results: Findings from fixed effects model revealed stock market development has negative significant effect and also regulatory framework showed positive significant impact on financial performance. Conclusion: It is recommended that policymakers and regulatory authorities strike a balance between maintaining effective regulations and ensuring flexibility to promote market growth. Additionally, efforts should be made to enhance stock market infrastructure, broaden financial literacy, and encourage more listings and investor participation.