The Bank of Uganda has released the results of the September 23, 2026 Uganda Government Treasury Bond auction, covering the reopened 2-year, 5-year and 25-year Treasury Bonds and the new 15-year Treasury Bond.
The auction produced cut-off yields of:
- 2-Year Treasury Bond: 12.000%
- 5-Year Treasury Bond: 13.740%
- 15-Year Treasury Bond: 15.250%
- 25-Year Treasury Bond: 16.250%
The auction was held on Wednesday, September 23, 2026, with settlement scheduled for Thursday, September 24, 2026.
September 23 Treasury Bond Auction Results at a Glance
| Tenor | Amount Offered | Total Bids Received | Accepted Bids | Cut-Off Yield | Bid-to-Cover |
|---|---|---|---|---|---|
| 2-Year | UGX 250B | UGX 304.63B | UGX 39.38B | 12.000% | 7.735 |
| 5-Year | UGX 350B | UGX 534.78B | UGX 35.71B | 13.740% | 14.975 |
| 15-Year | UGX 450B | UGX 487.61B | UGX 89.36B | 15.250% | 5.457 |
| 25-Year | UGX 350B | UGX 1.273T | UGX 1.036T | 16.250% | 1.228 |
The results show a wide variation in both bidding activity and the amounts ultimately accepted across the four maturities.
2-Year Treasury Bond Results
The reopened 2-year Treasury Bond, ISIN UG0000001376, carries a coupon rate of 15.250% and matures on November 16, 2028.
Bank of Uganda offered UGX 250 billion, with approximately UGX 304.63 billion tendered.
The auction produced:
Cut-off price: 111.243 per UGX 100
Cut-off yield: 12.000%
Accepted bids: UGX 39.38 billion
Bid-to-cover ratio: 7.735
The cut-off price was above the bond’s face value, while its resulting yield of 12.000% was below its 15.250% coupon.
This is a useful example of why investors shouldn’t use a Treasury Bond’s coupon rate alone when assessing its potential return.
5-Year Treasury Bond Results
The reopened 5-year Treasury Bond, ISIN UG12J2005328, carries a 15.000% coupon and matures on May 20, 2032.
Bank of Uganda offered UGX 350 billion.
Approximately UGX 534.78 billion was tendered, while approximately UGX 35.71 billion was accepted.
The auction results were:
Cut-off price: 109.703 per UGX 100
Cut-off yield: 13.740%
Accepted bids: UGX 35.71 billion
Bid-to-cover ratio: 14.975
Again, the security cleared above its face value, resulting in a cut-off yield below its 15.000% coupon.
New 15-Year Treasury Bond Results
The September auction also introduced a new 15-year Treasury Bond, ISIN UG12K0509410, maturing on September 5, 2041.
Bank of Uganda offered UGX 450 billion, and approximately UGX 487.61 billion was tendered.
The new bond established:
Cut-off price: 100.000 per UGX 100
Cut-off yield: 15.250%
Accepted bids: UGX 89.36 billion
Bid-to-cover ratio: 5.457
Because this was a new issue, the auction establishes an important initial market reference for the security.
The bond cleared at par, with a cut-off price of 100.000 and a yield of 15.250%.
25-Year Treasury Bond Results
The reopened 25-year Treasury Bond, ISIN UG12M0707507, carries a 16.000% coupon and matures on July 7, 2050.
This security recorded by far the largest amount of money tendered in the auction.
Bank of Uganda offered:
UGX 350 billion
Investors tendered approximately:
UGX 1.273 trillion
The auction ultimately produced:
Cut-off price: 100.591 per UGX 100
Cut-off yield: 16.250%
Accepted bids: UGX 1.036 trillion
Bid-to-cover ratio: 1.228
The size of the accepted amount is also notable. Approximately UGX 1.036 trillion was accepted despite the initial UGX 350 billion amount offered.
This illustrates an important feature of Bank of Uganda Treasury Bond auctions: the amount initially offered does not necessarily equal the amount ultimately accepted.
What Stands Out From the September 23 Auction?
There are several notable results from this auction.
1. More Than UGX 1.27 Trillion Was Tendered for the 25-Year Bond
The clearest headline from the auction is the scale of bidding for the longest-dated security.
Approximately UGX 1.273 trillion was tendered for the 25-year Treasury Bond.
Of this, approximately UGX 1.036 trillion was accepted.
That makes the 25-year bond significantly larger in accepted value than the other three securities in the auction.
2. The New 15-Year Bond Established a 15.250% Yield
The new 15-year bond entered the market at a 15.250% cut-off yield and a cut-off price of 100.000.
This gives investors the first auction-established yield for the new security.
3. Yields Increased With Maturity Across the Four Securities
The cut-off yields were:
2-Year → 12.000%
5-Year → 13.740%
15-Year → 15.250%
25-Year → 16.250%
Across these four securities, longer maturities corresponded with higher cut-off yields at this particular auction.
That doesn’t mean the longest bond is automatically the most suitable investment.
A bond maturing in 2050 carries a very different investment horizon from one maturing in 2028.
Investors should consider the additional time commitment, liquidity requirements, interest-rate exposure and their own financial objectives alongside the headline yield.
Coupon Rate vs Cut-Off Yield
The reopened bonds also provide useful examples of the relationship between a bond’s coupon, price and yield.
| Tenor | Coupon Rate | Cut-Off Price | Cut-Off Yield |
|---|---|---|---|
| 2-Year | 15.250% | 111.243 | 12.000% |
| 5-Year | 15.000% | 109.703 | 13.740% |
| 25-Year | 16.000% | 100.591 | 16.250% |
A Treasury Bond’s coupon and yield are not the same thing.
The coupon determines the interest payments attached to the bond, while the yield takes into account the price at which the investor acquires the security and other factors.
This is why investors comparing Treasury Bonds should look at the yield and purchase price, not simply choose the bond displaying the highest coupon.
What Does the Bid-to-Cover Ratio Mean?
Bank of Uganda reported the following bid-to-cover ratios:
2-Year: 7.735
5-Year: 14.975
15-Year: 5.457
25-Year: 1.228
These figures should be read alongside the amount tendered and the amount ultimately accepted.
For example, the 5-year security received approximately UGX 534.78 billion in bids, but only about UGX 35.71 billion was accepted.
This produced the much higher reported bid-to-cover ratio of 14.975.
Meanwhile, the 25-year bond attracted substantially more money overall, but Bank of Uganda also accepted a much larger amount, producing a lower reported bid-to-cover ratio of 1.228.
So a higher bid-to-cover ratio does not necessarily mean that security received the largest amount of money.
What Should Investors Consider?
The September 23 results give investors four very different investment horizons:
2-Year: Matures November 2028
5-Year: Matures May 2032
15-Year: Matures September 2041
25-Year: Matures July 2050
Choosing between them involves more than comparing yields.
Consider:
- How long you want to remain invested
- The price at which you’re buying the bond
- Yield to maturity
- Coupon payments
- Applicable taxes
- Liquidity
- Interest-rate risk
- Whether you might need to exit before maturity
- How the bond fits into your broader portfolio
A higher yield can be attractive, but it should always be considered alongside the investment’s risks and time horizon.
How to Invest in Treasury Bonds on Level Africa
The September 23 Bank of Uganda auction has closed, but you don’t necessarily have to wait for another government auction to invest in Treasury Bonds.
Level Africa allows investors to explore Treasury Bonds currently available on the platform and invest digitally.
1. Create and Verify Your Level Africa Account
Create your Level Africa account and complete the required verification process.
Already have an account? Simply log in.
2. Fund Your Wallet
Add funds to your Level Africa wallet.
This prepares your account to invest when you identify a Treasury Bond that fits your investment needs.
3. View Available Treasury Bonds
Navigate to Treasury Bonds under Investment Products.
You can see the Treasury Bonds currently available on Level Africa and review the relevant investment details.
4. Choose a Bond and Invest
Select the Treasury Bond you want to invest in.
Enter your investment amount and follow the steps on the platform to complete your investment.
5. Track Your Investment
Once your investment has been completed, you can track it 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 part of the primary government securities market, but Treasury Bonds may also be available after an auction.
So if you’re reading this after the September 23 auction, you can still log in to Level Africa and check which Treasury Bonds are currently available for investment.
The auction may have closed, but that doesn’t necessarily mean the opportunity to invest in Treasury Bonds has closed.
What Happens Next?
The September 23 auction has now established fresh market pricing across four Treasury Bond maturities.
For investors, the important numbers to take away are:
2-Year: 12.000%
5-Year: 13.740%
15-Year: 15.250%
25-Year: 16.250%
Future Treasury Bond auctions will provide further information about how government bond yields and investor demand are changing over time.
Level Africa will continue covering Bank of Uganda Treasury Bond invitations and auction results to make those developments easier for investors to understand.
Ready to Explore Treasury Bonds?
Treasury Bonds can play different roles in a portfolio depending on your investment goals, time horizon and liquidity requirements.
Before investing, understand the yield, purchase price, coupon, maturity, taxes, liquidity and risks associated with the security.
Log in to Level Africa to view 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.