Uganda is seeking to revive its dormant corporate bond market by encouraging companies to use credit ratings, sinking funds and financial guarantees to attract cautious investors amid rising competition from high-yielding Treasury bonds and bills.
The Uganda Capital Markets Authority (CMA), in its 2025 annual report, says elevated returns on government securities have made corporate bonds less attractive to both issuers and investors, forcing companies to compete with safer government debt at a higher borrowing cost.
