August 2022 Bank Of Uganda Treasury Bond Auction – 2-Year New Bond and 10-Year Reopening

In August 2022, Bank of Uganda offered two government treasury bonds — one brand new and one reopened — giving investors options for both short- and long-term goals. Whether you’re getting started or diversifying your investment timeline, this auction delivered attractive opportunities.

What Bonds Were Offered?

On Wednesday, August 10, 2022, the following bonds were auctioned:

UG12F0808242 – 2-Year Government of Uganda Treasury Bond maturing 08-Aug-2024 (New Bond)
UG12J2005328 – 15.000% Government of Uganda Treasury Bond maturing 20-May-2032 (10-Year Reopening)

Bond Term	ISIN	Coupon Rate	Maturity Date	Offering Amount	Withholding Tax
2-Year	UG12F0808242	TBD (set by auction)	08-Aug-2024	UGX 200 billion	20%
10-Year	UG12J2005328	15.000%	20-May-2032	UGX 350 billion	10%

Note: The coupon for the 2-Year bond is set during the auction based on winning bids.

Auction Details

Auction Date: Wednesday, August 10, 2022
Settlement Date: Thursday, August 11, 2022 (by 12:00 PM)
Minimum Investment:
- UGX 100,000 for non-competitive bids
- UGX 200.1 million for competitive bids via Primary Dealer Banks
Bidding Deadline: 10:00 AM on auction day
Coupon Payments: Paid every 6 months until maturity
Allotment Method: All successful bids (competitive and non-competitive) were allocated at the same cut-off price, based on the highest accepted yield

Why These Bonds Matter

The 2-year bond is ideal for short-term savers, with a fixed return paid semi-annually and a guaranteed return of principal.
The 10-year bond is best suited for long-term financial planning, like homeownership, education, or retirement.
Government bonds offer peace of mind with predictable income and low risk.
You can invest starting from just UGX 100,000, making it accessible for most Ugandans.

How to Invest with Level Africa

With Level Africa, you can invest in treasury bonds 100% online — no bank visits required.

Steps to get started:

Create an account on Level Africa
Complete KYC with your ID or passport
Go to Treasury Bonds under Products
Choose bonds listed (including reopened 3Y or 20Y bonds)
Fund your Level wallet
Buy bonds — instantly, if marked “Available”
Track interest and returns from your dashboard

Final Thoughts

The August 2022 bond auction offered accessible, reliable investment choices for every level of investor. Whether you’re new to bonds or building a long-term portfolio, these government-backed securities remain a safe and rewarding way to grow your wealth.

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Frequently Asked Questions About Treasury Bonds in Uganda

What are government bonds?

Government bonds are a way to lend money to the Government of Uganda. In return, the government pays you a fixed interest rate every 6 months and gives back your full investment at the end of the bond’s term.

How do treasury bonds work in Uganda?

You buy a bond (e.g. 3, 5, or 10 years), the government pays you interest every 6 months, and you get your full capital back when the bond matures. All bonds are issued and regulated by the Bank of Uganda.

What is the minimum amount to invest in government bonds?

You can start investing with UGX 100,000 using a non-competitive bid. No broker is needed when using platforms like Level Africa.

How can I buy government bonds in Uganda?

You need a Central Depository System (CDS) account or a digital investment platform like Level Africa.
Steps:

Create an account on Level Africa
Upload your National ID or Passport (KYC)
Go to “Treasury Bonds” under Products
Choose a bond that matches your investment goals
Deposit funds into your wallet
Place your order — instantly if marked “Available”
Track your bond and earnings from your dashboard

What are the current treasury bond interest rates in Uganda (2025)?

Rates vary by bond type and auction results. For example:

2-Year bond: around 15.75%
10-Year bond: around 16.25%
20-Year bond: up to 18.50%
All rates are set during each auction by the Bank of Uganda.

Are treasury bonds safe in 2025?

Yes. Treasury bonds are backed by the Government of Uganda and are considered among the safest investments, especially for long-term or retirement goals.

Do government bonds pay interest?

Yes. Interest is called a coupon and is paid out every 6 months. You receive it directly to your wallet or bank account.

Can I sell a bond before it matures?

Yes, bonds are transferable and can be rediscounted if you need to exit early, although the resale price depends on current market rates.

How do interest rates affect bonds?

If new bond rates go up, the value of existing bonds on the market may go down (and vice versa). However, if you hold your bond until maturity, you still get your full investment and all promised interest.

What’s the difference between treasury bonds and treasury bills?

Treasury bonds: Long-term (2–25 years), pay interest every 6 months
Treasury bills: Short-term (91–364 days), sold at a discount and paid back in full at maturity

Can individuals buy Bank of Uganda treasury bonds?

Yes. Both individuals and institutions can invest. Many Ugandans now use Level Africa to access bonds directly with no paperwork.

How often are treasury bonds auctioned in Uganda?

Typically, every 28 days. The auction calendar is published annually by the Bank of Uganda, and Level Africa notifies you ahead of each sale.