Federal Treasury Breaks 6-Billion Mark

The federal treasury, launched in April 2024, which allows private individuals to invest directly in government bonds with the Republic, is apparently well-received by investors. The invested volume now exceeds 6 billion euros, more than 135,000 accounts have been opened, the Ministry of Finance (BMF) announced on Monday. Since summer 2025, the instrument is available not only to private individuals but also to the public sector as an investment product.

Public Sector Also Relies on Government Bonds

This sector includes municipalities and states, but also institutions such as universities or museums and social security institutions. According to the BMF, their share of the federal treasury volume already amounts to more than one billion euros. Another 1.25 billion euros were allocated to green federal treasuries, whose funds are earmarked and serve to finance government expenditures that drive the green transformation. "The volume invested in the federal treasury corresponds to around 2 percent of the federal government's financial debt and enables a broadening of the domestic investor base," said Markus Stix, managing director of the Austrian Federal Financing Agency (OeBFA), according to the release.

Investment in Federal Treasury Possible from 100 Euros

With the federal treasury, private individuals can invest directly in fixed-interest securities with the Republic of Austria. They have maturities ranging from one month to 10 years. You can invest with as little as 100 euros, and there are no fees or charges. However, capital gains taxes (KESt) of 27.5 percent are levied on interest income, which is slightly higher than the 25 percent KESt on savings books and savings accounts.

When transferring money, it should also be noted that the account for the federal treasury is held at the Austrian National Bank (OeNB) and therefore an automatic IBAN name check does not take place at the bank. Central banks are exempt from the rule, effective since October 9, that the recipient's name must be matched with the IBAN number for every transfer, according to the federal treasury's homepage. It may therefore happen that recipient verification is not possible.

(APA/Red)

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