BTP Green and BTP Futura

BTP Green and BTP Futura are two types of BTPs  that share a common feature: the funds raised through their issuance are allocated to specific types of public spending. Let's look at how they work.

BTP Green has the same features as a standard BTP (fixed-rate coupon paid every six months, and full repayment of the face value at maturity). However, it is designed to finance public spending with a positive environmental impact, supporting Italy's ecological transition. It is, therefore, a genuine sustainable finance instrument.

The first BTP Green was issued in March 2021 and will mature in April 2045.

BTP Futura is intended exclusively for individual investors and is aimed at financing key development initiatives in Italy - such as strengthening the national healthcare system, introducing measures to protect jobs, and supporting families and businesses.

BTP Futura pays fixed-rate coupons every six months, with the rate increasing over time. The issue price is always equal to the bond's face value - so to buy a bond with a face value of €1,000, you pay €1,000.

Loyalty bonuses are awarded to investors who hold the bond from issue to maturity, and - in more recent issues - also to those who hold it until a set intermediate date. The bonus increases if Italy's economy and inflation grow during the life of the bond.

In particular, the bonus is linked to the average growth rate of Italy's nominal GDP (which includes inflation) over the holding period. If this average growth rate falls outside a predefined range (for example, 1-3 per cent), the minimum or maximum set value will apply instead.

To find out more about BTP Futura, visit the FAQs and detailed information on the website of the Ministry of Economy and Finance.

Did you find this content useful?

Related contents