Frinds,
August 6 is coupon day—and it is truly a day worth celebrating.
Over the past two years, thousands of Ugandans have embraced the world of Treasury bond investing. We have become familiar with auction days, those important dates when the Bank of Uganda issues new bonds to the market.
We analyse yields, compare coupon rates and guide investors on where to allocate their money. But as our community of Treasury bond investors continues to grow, it is equally important that we celebrate coupon days: the days when investors receive the actual income generated by their investments.
A coupon day is when the Government, through the Bank of Uganda, pays Coupon Income to holders of Treasury bonds. For many investors, payment alerts begin arriving before midday; others receive them later in the afternoon or evening, depending on their bank or investment platform.
Regardless of the exact time the money reflects, the excitement is universal. That moment when the message arrives—“Your account has been credited”—is a powerful reminder of why disciplined investing matters.
Coupon days also serve a crucial purpose for those who are still learning about Treasury bonds. Many Ugandans have heard about these investments and are curious, but they remain uncertain. They want evidence that the system works. They want to see real returns. Coupon day provides that spark—the confidence that Treasury bonds are genuine income‑generating investments that reward patience and discipline.
Today, August 6, 2026, is especially meaningful for investors in the 25‑year Treasury bond maturing in 2050. This bond has become one of the most important instruments for retail investors, with thousands of ordinary Ugandans participating since its introduction in 2025.
The bond was first issued in August 2025 and later reopened in November, when investors accessed exceptionally attractive yields—some as high as 17.95%. It paid its first coupon in February 2026. It was reopened again in March 2026 at yields of approximately 16.29%, attracting even more investors. Most recently, the bond was reopened on July 30, 2026, and those investors are now approaching their next coupon cycle.
The 2050 bond is popular for several reasons. First, its 16% coupon rate offers strong long‑term compounding potential. Every coupon payment gives investors the choice to enjoy part of the income or reinvest it to grow their portfolios further. Second, the bond pays coupons in February and August, allowing investors to structure their portfolios so that income arrives at different points throughout the year.
For many retail investors, the 15‑year bond maturing in 2039 and the 20‑year bond maturing in 2043 have long been foundational holdings. Both pay coupons around January and July, making those months major income seasons. The 25‑year 2050 bond is now joining that group, turning August into another significant coupon month for thousands of investors.
If today is your first time receiving a Treasury bond coupon, celebrate it. Enjoy a portion of the income—treat yourself, take your family out or buy something small you’ve been wanting. The goal is not to spend the entire coupon, but to experience the reward of your discipline and appreciate that your money is working for you.
If your coupon is Shs1 million or Shs2 million, consider using about 10% to celebrate and reinvesting the remaining 90% to continue building your portfolio.
This celebration is timely. On August 12, 2026, the Bank of Uganda will conduct another auction, offering a 10‑year and 20‑year Treasury bond. Investors receiving coupons today have an immediate opportunity to reinvest their income into the next auction.
Once the coupon arrives, planning begins. Most of the income can be allocated toward the next investment, while a smaller portion can be enjoyed. This is how long‑term wealth is built: enjoy a little, reinvest the majority and let compounding do its work.
There is no shortcut to wealth. Consistency, discipline and compounding remain the most powerful tools available to any investor.
For those receiving coupon payments today, be proud of your journey. Celebrate your progress and share your experience with others. When people see real returns being paid to real investors, it encourages more Ugandans to learn about Treasury bonds and move beyond keeping all their money in ordinary bank accounts.
Many people have idle funds or invest in opportunities that generate limited returns. Coupon days demonstrate that disciplined investment can create regular income and build wealth over time.
Personally, I look forward to the messages from investors whose portfolios I help manage. There is always joy when someone says, “Alex, I have received my coupon payment.” I look forward to confirming that the payment has reflected—and I am equally excited to receive my own coupon alert.
In many cases, the coupon has already been planned for before it arrives. Once the date is known, I reconcile portfolios days in advance and determine how each payment will be allocated. By the time the money reflects, the plan is already in place. In many ways, waiting for a coupon payment is like waiting for a salary—the income is expected, and the budget is ready.
That is the beauty of disciplined investing: your money never arrives without purpose. Every shilling has an assignment.
So, to everyone receiving a coupon payment today—celebrate. Order that good meal. Take your family out. Enjoy a small part of the reward. Then reinvest the rest and continue building your financial future.
Why celebrate? Because enjoying part of your coupon income allows you to feel the tangible benefit of your investment. It reminds you that your money is not idle—it is working for you.
That is what coupon day represents.
Let us celebrate August 6, 2026 as a milestone for every investor holding the 25‑year Treasury bond maturing in 2050. Let us celebrate the discipline of investing, the power of compounding and the progress being made by ordinary Ugandans who are taking control of their financial futures.
Happy coupon day—and happy investing.
Alex Kakande
0771404377
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