Italy to launch dual BTP Valore bond issuances in October

The Italian Ministry of Economy and Finance has announced a dual issuance of government bonds specifically for retail investors, scheduled for placement from October 19 to October 23, 2026. Both the BTP Valore and the new BTP Valore Insieme will have a five-year duration, maturing on October 27, 2031.

The BTP Valore will utilize a “step-up” coupon structure, providing quarterly interest payments that increase over three phases: a fixed rate for the first two years, a higher rate for the following two years, and a peak rate in the final year.

In contrast, the BTP Valore Insieme will offer a single interest payment at maturity. While the BTP Valore Insieme will feature a higher nominal rate to compensate for the lack of intermediate cash flows, both instruments are designed to provide financially equivalent total returns.

Key details for both bonds include a minimum investment of 1,000 euros, a 12.5% tax rate on interest, and exemptions from inheritance tax and ISEE calculations for holdings up to 50,000 euros. Guaranteed minimum rates and ISIN codes will be released by the Ministry on October 16.