RBI launches new facility: Early redemption facility for Sovereign Gold Bonds, special dates and guidelines issued

RBI
RBI launches new facility: Early redemption facility for Sovereign Gold Bonds, special dates and guidelines issued

The Reserve Bank of India (RBI) has announced the early redemption facility for Sovereign Gold Bonds (SGB) from October 2024 to March 2025. This facility will allow investors to redeem their gold bonds before maturity, and special dates and guidelines have been issued for this.

The Sovereign Gold Bond Scheme was launched in 2015, and since then 67 installments have been issued. The maturity period of this bond is 8 years, but investors can redeem it even after 5 years.

According to the press release issued by RBI, the redemption windows for various SGB instalments will open on special dates. Investors have to submit their redemption requests through receiving offices, NSDL, CDSL, or RBI Retail Direct.

For example, for 2017-18 Series bonds, which were issued on May 12, 2017, the redemption window will be available from October 11, 2024, to November 2, 2024. Similarly, for 2017-18 Series II bonds, which were issued on July 28, 2017, the redemption window will be open from December 27, 2024, to January 18, 2025.

Similarly, for 2018-19 Series I bonds, which were issued on May 4, 2018, the redemption window will be available from October 4, 2024, to October 25, 2024. For the 2019-20 series bonds, which were issued on March 11, 2020, the redemption window will be open from February 7, 2025 to March 1, 2025.

The RBI has also clarified that these dates are subject to change in case of unscheduled holidays. This new facility will give investors better control over their investments and enable them to redeem their gold bonds on time.

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