Step by step
How to buy treasury bills in Uganda: a step-by-step guide
Updated 2 Nov 2026 · 2 min read · By Capital & Context editorial team
Treasury bills are short loans you make to the Government of Uganda. You lend for 91, 182 or 364 days, and at the end you get the full face value back. They are commonly used for money you won't need until the bill matures, by people who want a fixed return with very little risk of not being paid.
How does a treasury bill pay you?
Treasury bills don't pay interest along the way. You buy them below their face value, and the difference is your return. The latest auction yields are:
- 91 days: 11.25% (91-day bill, before tax, BoU auction, 21 Oct 2026)
- 182 days: 13.40% (182-day bill, before tax, BoU auction, 21 Oct 2026)
- 364 days: 14.50% (364-day bill, before tax, BoU auction, 21 Oct 2026)
Withholding tax of 20% withholding tax (treasury bills and 2, 3 and 5-year treasury bonds, Bank of Uganda, 31 Jul 2025) is taken from the difference between what you paid and the face value, so what you keep is a little less than the headline yield. Our treasury bill calculator works out the exact amounts for your money.
Who can buy treasury bills?
Individuals, companies, SACCOs, investment clubs and other institutions can all buy them. You need a Central Securities Depository (CSD) account, which records the securities you own.
How do I buy one, step by step?
- Open a CSD account. Apply through the Bank of Uganda or a commercial bank. Banks commonly ask for your national ID, a passport photo, a bank account in your name and your TIN.
- Check the auction date. The Bank of Uganda's auction calendar lists every bill auction for the year. Our treasury bill and bond rates page shows the next one.
- Place a non-competitive bid through your bank. You bid for a face value, from UGX 100,000 (non-competitive bid through any bank, in multiples of UGX 100,000, BoU invitation to tender, 15 Oct 2026). A non-competitive bid accepts the price the auction sets, so you don't have to name a rate.
- Pay on settlement day. The day after the auction, your account is debited for the auction price of the face value you bid for.
- Get the face value back at maturity. It is paid into your bank account, less withholding tax. You can then bid again at the next auction.
What do people commonly watch out for?
- Getting money out early is harder. Selling before maturity needs a buyer on the secondary market, and the price may be lower.
- Inflation. Compare the yield with inflation, currently 5.8% (annual inflation, 12 months to October 2026, UBOS, 2 Nov 2026). Our inflation calculator shows the real return.
- Bank charges. Ask your bank about any fees for opening the account or placing bids.
If you'd rather reach your money within days, a money market fund is a common alternative. If you want to lend for longer, read treasury bonds vs treasury bills.