RBI Opens New Trance Of Sovereign Gold Bonds For Subscription
The Reserve Bank of India announced the opening of the latest tranche of the Sovereign Gold Bond (SGB) scheme 2022-23, series III, subscription starts from 19 to 23 December 2022.
The five days subscription period will be with, issuance bond price of Rs 5,409 per gram. The subscription comes with a minimum investment limit of one gram of gold and maximum investment limit of four kg of gold for an individual, four kg for Hindu Undivided Families (HUFs), and 20 kg for trusts and similar entities per fiscal year.
The Indian government decides to grant a discount of Rs 50 per gram to investors who apply online and pay for their applications using digital methods. The issuing gold price after discount will be Rs 5,359 per gram.
SGB’s sale is available on all scheduled commercial banks (SCBs), except small finance banks (SFBs), regional rural banks (RRBs) and payment banks. These bonds can also be bought from the designated post offices, Stock Holding Corporation of India (SHGIL) and the Clearing Corporation of India (CCIL). Apart from these, the bonds are going to be sold on National Stock Exchange (NSE) and Bombay Stock Exchanges (BSE), either directly or through agents.
SGB is providing a tenor of eight years to its bond subscribers with a premature option of redemption after five years, option exercised on the date with payable interest.
Subscribers will earn interest at a fixed rate of 2.5 per cent per year, which is payable semi-annually on the nominal value. All the payments will be accepted through cash (up to Rs 20,000), electronic banking, demand draft, or cheque.
For online buying investors can use SBI’s e - service, net banking login. First time investors are required to register and accept terms and condition before proceeding to login.
