Italy’s debt-laden government plans to tap mom-and-pop investors with a new bond whose payout will be partially linked to the country’s economic growth.

The first BTP Futura will be offered only to individual investors, who can put in as little as €1,000 in early July. Investors who purchase the bond at issuance and hold it until it comes due in eight to 10 years will get an additional payment linked to Italy's gross domestic product growth rate.