Commodity

The Reserve Bank of India (RBI) has announced premature redemption under Sovereign Gold Bond (SGB) Scheme (SGB 2017-18 Series IV and SGB 2018-19 Series II). It noted that in premature redemption of Gold Bond may be permitted after fifth year from the date of issue of such Gold Bond on the date on which interest is payable. Accordingly, the next due date of premature redemption of the above tranches shall be April 23, 2024.

RBI noted that redemption price of SGB shall be based on the simple average of closing gold price of 999 purity of previous three business days from the date of redemption as published by the India Bullion and Jewellers Association Ltd (IBJA). Accordingly, the redemption price for premature redemption due on April 23, 2024 shall be Rs 7325/- (Rupees Seven thousand three hundred and twenty five only) per unit of SGB based on the simple average of closing gold price for three business days i.e., April 18, 19 and 22, 2024.

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