Italian Treasury schedules July 28 bond auction with new inflation‑linked BTP€i 2037

The Italian Treasury will hold an auction on 28 July for three sovereign bonds, aiming to raise about €5.5 billion. One of the issues is a new 10‑year inflation‑linked bond, the BTP€i 2037, which will mature on 15 February 2037. The BTP€i offers a 2 % real annual coupon, paid semi‑annually (0.088398 % per period) and is indexed to the Eurozone HICP ex‑tobacco. The Treasury plans to sell roughly €3 billion of this instrument, with the remaining €2.5‑3 billion allocated to a standard BTP and a 7‑year BTP due in 2028.

Investors view the BTP€i as protection against inflation, but the overall return depends on future Eurozone inflation staying around the European Central Bank’s 2 % target. The auction also includes a supplemental issue on 29 July for specialist bond investors worth €900 million.