May 2023 Bank Of Uganda Treasury Bond Auction – 5-Year and 20-Year Bonds Reopened

May 2023 brings another opportunity to grow your investments through treasury bonds. The Bank of Uganda is reopening two bonds — one for medium-term planners and another for long-term investors. Here’s everything you need to know to take advantage.

What Bonds Are Being Offered?

On Wednesday, May 17, 2023, Bank of Uganda will reopen:

UG12J1301280 – 14.125% Government of Uganda Treasury Bond due 13-Jan-2028 (5-Year Reopening)
UG12L1408420 – 18.500% Government of Uganda Treasury Bond due 14-Aug-2042 (20-Year Reopening)

Bond Term	ISIN	Coupon Rate	Maturity Date	Offering Amount	Withholding Tax
5-Year	UG12J1301280	14.125%	13-Jan-2028	UGX 150 billion	20%
20-Year	UG12L1408420	18.500%	14-Aug-2042	UGX 250 billion	10%

Auction Details

Auction Date: Wednesday, May 17, 2023
Settlement Date: Thursday, May 18, 2023 (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: Interest is paid every 6 months
Allotment Method: All successful bids receive the same cut-off price, which corresponds to the highest accepted yield.

Why These Bonds Matter

The 5-year bond is ideal for medium-term goals like school fees, land, or capital for a growing business.
The 20-year bond is perfect for long-term planning — retirement, generational wealth, or a child’s future education.
With interest rates as high as 18.5%, these bonds offer some of the best fixed-income returns in the market.
They are backed by the Government of Uganda, making them a low-risk investment.
You can start investing from as little as UGX 100,000.

How to Invest with Level Africa

Level Africa makes the bond investment process simple and digital.

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

May’s bond auction is a strong opportunity to earn safe, fixed returns whether you’re investing for 5 years or 20. Treasury bonds are one of the most dependable ways to build wealth with peace of mind.

Start Now – Create an Account on Level Africa

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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.