Italian Treasury bond issuance raises 4.6 billion euros on first day

The Italian Treasury has launched a dual issuance of five-year government bonds, Btp Valore and Btp Valore Insieme, targeting retail investors. The subscription period runs from October 19 to October 23, 2026.

On the first day of the offering, the Treasury collected approximately 4.6 billion euros. The traditional Btp Valore, which features increasing quarterly step-up coupons (3.7% for the first two years, 4.1% for the next two, and 4.7% in the final year), was the preferred option, attracting roughly 3.4 billion euros. The new Btp Valore Insieme, which pays a single 22.25% maxi-coupon at maturity, raised approximately 1.2 billion euros.

Both instruments are designed to offer a similar minimum gross annual yield of approximately 4.10%. The Treasury has noted that the final interest rates may be adjusted upward at the close of the offering based on market conditions, but they cannot be reduced. The bonds benefit from a 12.5% preferential tax rate and are exempt from inheritance tax.