The Bank of Uganda has released the results of the September 9, 2026 Uganda Government Treasury Bond auction, covering the new 3-year and 20-year Treasury Bonds alongside the reopening of the existing 10-year bond.
The auction produced cut-off yields of:
- 3-Year Treasury Bond: 12.000%
- 10-Year Treasury Bond: 15.000%
- 20-Year Treasury Bond: 15.000%
Investor demand exceeded the amounts offered across all three securities, with particularly significant bidding for the new 20-year Treasury Bond.
September 2026 Treasury Bond Auction Results at a Glance
| Tenor | Amount Offered | Total Bids Received | Accepted Bids | Cut-Off Yield | Bid-to-Cover |
|---|---|---|---|---|---|
| 3-Year | UGX 230B | UGX 498.84B | UGX 249.04B | 12.000% | 2.003 |
| 10-Year | UGX 330B | UGX 440.67B | UGX 266.02B | 15.000% | 1.657 |
| 20-Year | UGX 430B | UGX 1.136T | UGX 105.00B | 15.000% | 10.814 |
The auction took place on September 9, 2026, with settlement scheduled for September 10, 2026.
New 3-Year Treasury Bond Results
The new 3-year Treasury Bond, ISIN UG12G0609291, matures on September 6, 2029.
Bank of Uganda offered UGX 230 billion, while investors submitted approximately UGX 498.84 billion in bids.
The auction results were:
Cut-off price: 100.000
Cut-off yield: 12.000%
Accepted bids: UGX 249.04 billion
Bid-to-cover ratio: 2.003
The new security therefore entered the market at a 12.000% cut-off yield.
10-Year Treasury Bond Reopening Results
The 10-year Treasury Bond, ISIN UG12K1405378, was the only reopened security in this auction.
It carries an existing 16.000% coupon and matures on May 14, 2037.
Bank of Uganda offered UGX 330 billion and received approximately UGX 440.67 billion in bids.
The results were:
Cut-off price: 109.798
Cut-off yield: 15.000%
Accepted bids: UGX 266.02 billion
Bid-to-cover ratio: 1.657
The difference between the bond’s 16.000% coupon and 15.000% cut-off yield is important.
Because this was a reopened bond and the cut-off price was above its face value at 109.798 per UGX 100, the resulting yield was below the stated coupon rate.
New 20-Year Treasury Bond Results
The new 20-year Treasury Bond, ISIN UG12L1608466, produced the most striking numbers in the auction.
The security matures on August 16, 2046.
Bank of Uganda offered:
UGX 430 billion
Investors tendered approximately:
UGX 1.136 trillion
The auction ultimately recorded:
Cut-off price: 100.000
Cut-off yield: 15.000%
Accepted bids: UGX 105.00 billion
Bid-to-cover ratio: 10.814
The size of the tendered amount shows substantial interest in the new long-term government security.
However, it is important to distinguish bids received from bids accepted.
Despite more than UGX 1.1 trillion being tendered, only approximately UGX 105 billion was ultimately accepted.
What Does the Bid-to-Cover Ratio Tell Us?
The bid-to-cover ratio gives investors an indication of demand relative to the amount ultimately accepted.
The September auction recorded:
3-Year: 2.003
10-Year: 1.657
20-Year: 10.814
The 20-year figure is particularly notable.
It reflects the large difference between the amount tendered and the amount Bank of Uganda ultimately accepted.
This is why it is useful to look beyond the headline amount offered when interpreting auction results.
What Do the September Treasury Bond Results Tell Investors?
There are three particularly interesting takeaways.
1. The New 3-Year Bond Cleared at 12.000%
The new 3-year security established a cut-off yield of 12.000% at its first auction.
With approximately UGX 498.84 billion tendered against UGX 230 billion initially offered, the security attracted substantial demand.
2. The 10-Year Bond Cleared at 15.000%
The reopened 10-year security carries a 16.000% coupon but cleared at a 15.000% yield.
Its auction price of 109.798 helps explain why the yield is lower than the coupon.
This is an important reminder that investors should not use a bond’s coupon rate alone when comparing investment opportunities.
3. The New 20-Year Bond Attracted More Than UGX 1.1 Trillion in Bids
This is arguably the headline result of the auction.
Approximately UGX 1.136 trillion was tendered for the new 20-year bond.
That compares with an initial offering amount of UGX 430 billion.
However, Bank of Uganda accepted approximately UGX 105 billion, resulting in the reported 10.814 bid-to-cover ratio.
3-Year vs 10-Year vs 20-Year: Comparing the Yields
The auction established the following cut-off yields:
| Tenor | Maturity | Cut-Off Yield |
|---|---|---|
| 3-Year | September 2029 | 12.000% |
| 10-Year | May 2037 | 15.000% |
| 20-Year | August 2046 | 15.000% |
The results present an interesting comparison.
Moving from the 3-year to the 10-year security increased the cut-off yield from 12% to 15%.
But extending from the 10-year bond to the 20-year bond did not produce a higher cut-off yield at this auction. Both cleared at 15.000%.
That doesn’t automatically make one security better than another.
An investor considering a bond extending to 2046 should think about the significantly longer investment horizon, interest-rate exposure, liquidity and their own financial objectives.
Coupon Rate and Yield Are Not the Same Thing
The 10-year result provides a useful practical example.
The bond carries a:
16.000% coupon
But its September auction cut-off yield was:
15.000%
And its cut-off price was:
109.798 per UGX 100
The coupon determines the interest payments attached to the security.
The yield considers the return relative to the price paid for the bond and other factors.
This is why two bonds with similar coupon rates can offer investors different effective yields.
When comparing Treasury Bonds, look beyond the headline coupon.
How to Invest in Treasury Bonds on Level Africa
The September 9 auction has closed, but that does not mean investors have to wait until the next Bank of Uganda auction to explore Treasury Bonds.
Level Africa allows investors to view Treasury Bonds currently available on the platform and invest digitally.
Here’s how:
1. Create and Verify Your Account
Create a Level Africa account and complete the required verification.
Already registered? Simply log in.
2. Fund Your Wallet
Add money to your Level Africa wallet so that you’re ready to invest.
3. View Available Treasury Bonds
Navigate to Treasury Bonds under Investment Products.
You can review the Treasury Bonds currently available on Level Africa and see important information about each investment.
4. Choose a Bond and Invest
Select the Treasury Bond that fits your investment needs, enter your investment amount and follow the steps to complete the investment.
5. Track Your Investment
Once completed, you can track your Treasury Bond investment through your Level Africa account alongside your other investments.
Do You Have to Wait for the Next Treasury Bond Auction?
Not necessarily.
Bank of Uganda auctions are an important part of the primary government securities market, but Treasury Bonds may also be available after an auction.
This means an investor reading this article after the September 9 deadline can still log in to Level Africa and check the Treasury Bonds currently available for investment.
The auction may have closed. Your opportunity to explore Treasury Bonds hasn’t necessarily closed with it.
When Is the Next Uganda Treasury Bond Auction?
According to the Bank of Uganda announcement accompanying the results, the next Treasury Bond auction is scheduled for:
Wednesday, September 23, 2026
Details of the securities to be offered will become important once the corresponding auction invitation is released.
Level Africa will continue breaking down Uganda Government Treasury Bond invitations and results to help investors understand what’s happening in the market.
Ready to Invest in Treasury Bonds?
Treasury Bonds can play different roles in an investment portfolio depending on an investor’s objectives, time horizon and liquidity requirements.
Before investing, understand:
- The bond’s maturity
- Purchase price
- Yield
- Coupon
- Applicable taxes
- Liquidity
- Risks
And importantly, understand how the investment fits your financial goals.
Log in to Level Africa to see Treasury Bonds currently available and start investing.
This article is provided for general information and investor education and should not be considered personalised investment advice.