AGENCE FRANCE TRESOR is tasked with managing the government debt and cash positions under the most secure conditions in the interest of the taxpayer.
Home > Debt management > Products > BTFs
Fixed-rate discount Treasury bills (BTFs) are similar to short-term Treasury bonds. They have an initial maturity of less than or equal to one year.

Market Overview
They have a par value of €1. BTFs are issued every week by auction as part of AFT’s quarterly schedule published in advance. This schedule provides details of the maturities of the bills that will be auctioned during the quarter. Some BTFs, including those with shorter than standard maturities, may be issued independently of the published schedule depending on the Government’s cash requirements. Quarterly BTFs are are half-yearly and yearly BTFs.

To reconcile new with existing issuances, the maturity of new bills issued is based on the maturity of existing bills. In 2014, the BTF market boasted 25-30 different permanent issuances.

The market is informed every Friday at 11am of the BTFs that will be auctioned the following Monday. To ensure that there is sufficient flexibility to meet market demand, AFT announces the amounts that wil be auctioned, including the range for each issuance to be auctioned. Bids of at least one million euros are expressed at a yield-to-maturity to three decimal places (from 0.5 cents to 0.5 cents) and in the exact number of days out of 360 (ACT/360). BTFs have pre-calculated annual coupons applied to the par value of the bond and calculated on the basis of a prorata discount rate paid when the bond is issued and subtracted from the purchase price. There is therefore no related coupon payment.

As of Monday October 6, 2014, settlement of BTF auctions has been at T+2 to bring primary market settlement dates into line with secondary market settlement dates.