The Bank of Uganda has announced its next Uganda Government Treasury Bond auction, scheduled for Wednesday, 28 October 2026, with a combined UGX 1.4 trillion on offer across four Treasury Bond re-openings.
The auction features 2-year, 5-year, 15-year and 25-year Treasury Bonds, with coupon rates ranging from 15.000% to 16.000%.
The 15-year Treasury Bond accounts for the largest offering at UGX 450 billion, while the 2-year bond has the shortest remaining maturity, making this auction relevant to investors considering different investment horizons.
All four securities are re-openings of existing government bonds. This means their coupon rates and maturity dates have already been established, while the prices and yields at which investors acquire them will be determined through the auction.
For investors considering government securities in Uganda, here is a breakdown of the bonds on offer, important auction dates, how the auction works and what to consider before investing.
Uganda Treasury Bond Auction – 28 October 2026 at a Glance
The Bank of Uganda is offering the following four Treasury Bond re-openings:
| Auction Details | 2-Year Bond | 5-Year Bond | 15-Year Bond | 25-Year Bond |
|---|---|---|---|---|
| Coupon Rate | 15.250% | 15.000% | 15.250% | 16.000% |
| ISIN | UG0000001376 | UG12J2005328 | UG12K0509410 | UG12M0707507 |
| Maturity Date | 16 Nov 2028 | 20 May 2032 | 5 Sep 2041 | 7 Jul 2050 |
| Amount Offered | UGX 250B | UGX 350B | UGX 450B | UGX 350B |
| Withholding Tax | 20% | 10% | 10% | 10% |
Total Amount Offered: UGX 1.4 trillion
Auction Date: Wednesday, 28 October 2026
Bank of Uganda Bid Submission Deadline: 10:00 a.m., Wednesday, 28 October 2026
Settlement Date: Thursday, 29 October 2026
The 15-year Treasury Bond represents the largest portion of the offering, accounting for approximately 32.1% of the total amount advertised.
The auction provides four different maturities, allowing investors to compare government securities with different remaining investment periods.
What Is a Treasury Bond Re-opening?
All four securities in the October 2026 auction are re-openings.
A Treasury Bond re-opening occurs when the government issues additional amounts of a bond that already exists, rather than introducing an entirely new security.
The additional bonds retain the existing security’s identifying characteristics, including its:
International Securities Identification Number (ISIN)
Fixed coupon rate
Maturity date
Established coupon payment schedule
For example, the 5-year Treasury Bond being offered in this auction carries a 15.000% coupon rate and matures on 20 May 2032.
These characteristics remain unchanged when the bond is re-opened.
However, the price at which investors purchase the bond may differ from its face value.
This is why the coupon rate advertised in the auction invitation should not be confused with the final auction yield.
The auction determines the accepted price and corresponding yield for each security.
2-Year Treasury Bond: 15.250% Coupon
The shortest-dated security in the auction is the 2-year Treasury Bond, identified by ISIN UG0000001376.
This bond carries a fixed coupon rate of 15.250% and matures on 16 November 2028.
Bank of Uganda is offering UGX 250 billion of this security.
The applicable withholding tax stated in the auction invitation is 20%.
What should investors consider?
The 2-year Treasury Bond has the shortest remaining maturity among the four securities in this auction.
For investors comparing investment horizons, this means the bond reaches maturity considerably earlier than the 5-year, 15-year and 25-year securities.
Its coupon rate determines the interest payments associated with the bond’s face value.
However, the actual yield available to investors will depend on the price established through the auction.
Investors should also account for the applicable withholding tax when evaluating potential income.
5-Year Treasury Bond: 15.000% Coupon
The 5-year Treasury Bond, ISIN UG12J2005328, carries a fixed coupon rate of 15.000%.
It matures on 20 May 2032, and Bank of Uganda is offering UGX 350 billion of the security.
The applicable withholding tax is 10%.
What should investors consider?
The 5-year Treasury Bond provides a longer investment horizon than the 2-year security, while maturing earlier than the 15-year and 25-year bonds.
For investors considering government securities over several years, the remaining maturity is an important factor.
Although the bond carries a 15.000% coupon, the final yield will depend on the price at which it is purchased.
A bond purchased above or below its face value can have a yield different from its fixed coupon rate.
Investors should therefore consider both the bond’s coupon payments and the purchase price when assessing the investment.
15-Year Treasury Bond: 15.250% Coupon
The 15-year Treasury Bond, ISIN UG12K0509410, carries a coupon rate of 15.250% and matures on 5 September 2041.
Bank of Uganda is offering UGX 450 billion, making it the largest offering in this auction.
The applicable withholding tax is 10%.
What should investors consider?
The 15-year Treasury Bond has a substantially longer remaining maturity than the 2-year and 5-year securities.
Investors considering this bond should think about their long-term financial objectives and whether they may need access to the invested funds before maturity.
Although Treasury Bonds can be traded in the secondary market, their prices can change over time.
An investor who sells a bond before maturity may receive more or less than the amount originally invested, depending on prevailing market prices.
Longer-dated bonds are generally more sensitive to changes in market interest rates than shorter-dated bonds.
This makes investment horizon and potential liquidity needs important considerations.
25-Year Treasury Bond: 16.000% Coupon
The longest-dated security in the auction is the 25-year Treasury Bond, identified by ISIN UG12M0707507.
It carries a fixed coupon rate of 16.000% and matures on 7 July 2050.
Bank of Uganda is offering UGX 350 billion of this security.
The applicable withholding tax is 10%.
What should investors consider?
The 25-year Treasury Bond has the highest coupon rate among the four securities in this auction.
However, the highest coupon rate does not necessarily mean the highest auction yield.
Because this is a re-opening, investors will purchase the bond at a price determined through the auction.
That price, together with the remaining coupon payments and maturity value, determines the resulting yield.
The bond also has the longest remaining maturity of the four securities.
Investors considering this security should pay particular attention to their investment horizon and the potential impact of interest-rate changes on its market value.
Coupon Rate vs Auction Yield: What Investors Need to Know
One of the most important distinctions when investing in Treasury Bonds is the difference between the coupon rate and the yield.
The coupon rate determines the fixed interest payments calculated on a bond’s face value.
The yield reflects the return associated with the price paid for the bond and its remaining cash flows.
For example, the 25-year Treasury Bond in this auction has a 16.000% coupon rate.
That does not mean the final auction yield will necessarily be 16.000%.
If the bond is purchased below face value, its yield may be higher than its coupon rate.
If it is purchased above face value, its yield may be lower than its coupon rate.
The final auction results will establish the accepted price and corresponding yield for each security.
Investors comparing Treasury Bonds should therefore consider the coupon rate, purchase price, yield, remaining maturity and applicable taxes together.
For a better understanding of bond pricing and yields, explore our Bank of Uganda Treasury Bond Rates guide.
How Does the 28 October Treasury Bond Auction Work?
Bank of Uganda conducts Treasury Bond auctions through the Central Securities Depository (CSD), with bids submitted by participating banks.
The auction accommodates competitive and non-competitive bids.
Competitive Bids
Competitive bids specify the price an investor is willing to pay for a bond.
The minimum competitive bid amount for this auction is UGX 200,100,000.
Only authorised Primary Dealer Banks are permitted to submit competitive bids directly into the auction.
Non-Competitive Bids
Non-competitive bids allow eligible investors to participate without specifying their own bid price.
The minimum non-competitive bid amount is UGX 100,000.
According to the Bank of Uganda invitation, non-competitive bids are accepted in full at the auction cut-off price/yield, up to UGX 200 million per tenor.
How Are Successful Bids Allocated?
Bank of Uganda requires bid prices to be quoted per UGX 100 of face value, expressed to three decimal places.
Successful competitive and non-competitive bids are allocated at a single price: the lowest accepted auction price per UGX 100, corresponding to the highest accepted auction yield.
Bank of Uganda also reserves the right to increase or reduce the amount offered and to accept or reject applications in whole or in part.
When Is the Deadline for the October 2026 Treasury Bond Auction?
The auction is scheduled for Wednesday, 28 October 2026.
Bank of Uganda requires Primary Dealer Banks and other commercial banks to submit bids electronically through the Central Securities Depository by 10:00 a.m. on the auction date.
Settlement is scheduled for Thursday, 29 October 2026.
Investors participating through an intermediary should confirm the applicable submission timelines with that institution, as internal processing deadlines may be earlier than the Bank of Uganda deadline.
How Do Investors Earn Returns from Treasury Bonds?
Treasury Bonds generally provide returns through periodic coupon payments.
The coupon rate is fixed for the security and determines the amount of interest payable based on the bond’s face value.
For example, a bond with a 15% annual coupon rate and a face value of UGX 1,000,000 would generate UGX 150,000 in annual coupon payments before applicable taxes.
Where coupons are paid semiannually, this would ordinarily be divided into two payments of UGX 75,000 each.
This is an illustration of how coupon payments work, not a calculation of the final yield or purchase cost for any bond in the October auction.
Because Treasury Bonds can trade above or below face value, the price an investor pays also matters.
Investors holding a bond to maturity receive the principal repayment according to its terms, while those selling before maturity receive the prevailing market price.
You can use the Level Africa Treasury Bond Calculator to explore estimated coupon payments and investment cash flows.
How Does Withholding Tax Affect Treasury Bond Returns?
The Bank of Uganda invitation specifies different withholding tax rates for the securities in this auction.
The 2-year Treasury Bond is subject to 20% withholding tax, while the 5-year, 15-year and 25-year bonds are subject to 10% withholding tax.
This distinction matters because the amount an investor receives after applicable tax deductions may differ from the headline coupon payment.
When comparing bonds, investors should therefore consider the applicable tax treatment alongside the coupon rate, yield and maturity.
A bond with a higher advertised coupon rate does not automatically provide a higher after-tax return.
How to Invest in Treasury Bonds Through Level Africa
Treasury Bonds are among the investment products available through Level Africa.
Investors can explore available government bonds, review their investment details and manage investments online.
You do not necessarily have to wait for a new government auction to explore Treasury Bonds, as existing securities may also be available through the secondary market.
Step 1: Create & Verify Your Account
Register on Level Africa and complete the required account verification.
Step 2: Fund Your Wallet
Add funds to your Level Africa wallet.
Step 3: Choose a Treasury Bond
Browse the Treasury Bonds currently available on the platform.
Review the relevant investment details, including maturity, pricing and yield information where provided.
Step 4: Invest & Track
Complete your investment and monitor it through your Level Africa account.
What Happens After the 28 October 2026 Auction?
Once the auction closes, Bank of Uganda will publish the results showing the outcome for each security.
The results are expected to provide information such as:
Amounts tendered by investors
Amounts accepted by Bank of Uganda
Cut-off prices
Accepted auction yields
Bid-to-cover ratios
These results will provide a clearer picture of investor participation and the yields established across the four maturities.
We will publish a breakdown of the results on Level Africa once they are released.
Investors can also follow our Bank of Uganda Treasury Bond Auction Calendar for upcoming auctions and important dates.
Final Thoughts
The 28 October 2026 Uganda Treasury Bond auction offers UGX 1.4 trillion across four existing government securities with different maturities and coupon rates.
The 2-year bond provides the shortest remaining investment horizon, while the 25-year bond has the longest maturity and highest coupon rate among the securities being offered.
However, investors should remember that coupon rates are not the same as auction yields.
The final auction results will determine the accepted prices and yields for each bond.
For investors exploring government securities, understanding the differences in maturity, pricing, coupon payments and tax treatment is an important part of evaluating available opportunities.
Frequently Asked Questions
When is the next Uganda Treasury Bond auction?
The next auction covered by this announcement is scheduled for Wednesday, 28 October 2026, with settlement on Thursday, 29 October 2026.
Which Treasury Bonds are being offered?
Bank of Uganda is re-opening four existing Treasury Bonds: 2-year, 5-year, 15-year and 25-year securities.
Their coupon rates are 15.250%, 15.000%, 15.250% and 16.000%, respectively.
How much is Bank of Uganda offering?
The combined initial offer is UGX 1.4 trillion, distributed across the four securities.
What is the minimum Treasury Bond investment?
The minimum non-competitive bid in the Bank of Uganda auction is UGX 100,000, while the minimum competitive bid is UGX 200.1 million.
Minimum investment requirements for products available through Level Africa may differ from the auction’s direct bidding requirements.
Are the advertised coupon rates the final yields?
No. The advertised coupon rates are fixed characteristics of the existing bonds.
The auction determines the accepted prices and corresponding yields.
Can I buy Treasury Bonds after the auction?
Yes. Treasury Bonds may be available in the secondary market after issuance, subject to availability and prevailing market prices.
Can I invest in Treasury Bonds through Level Africa?
Yes. Level Africa provides access to Treasury Bonds available on its investment platform.
Investors can create an account, complete verification, fund their wallet and choose from available investment opportunities.