Premature Redemption Details for Sovereign Gold Bonds Series I by RBI

Introduction

The Reserve Bank of India (RBI) has issued a press release regarding the premature redemption of Sovereign Gold Bonds (SGB), specifically pertaining to Series I of the SGB issued in 2015. This document outlines the redemption price and relevant details concerning the upcoming redemption date.

Details of Premature Redemption

According to the Government of India Notification F.No.4(19) – W&M/2014 dated October 30, 2015, which governs the Sovereign Gold Bond Scheme, holders of Gold Bonds may redeem their investments prematurely after the completion of five years from the issuance date. For Series I, which has an issue date of November 30, 2015, the next premature redemption date is scheduled for May 30, 2022.

Redemption Price Calculation

• The redemption price is determined based on the simple average closing price of gold with 999 purity from the preceding week (Monday to Friday) as published by the India Bullion and Jewellers Association Ltd (IBJA).
• For the upcoming premature redemption on May 30, 2022, the redemption price is set at Rs. 5119/- (Rupees Five Thousand One Hundred Nineteen Only) per unit of SGB. This figure is based on the average of closing gold prices from May 23 to May 27, 2022.

Conclusion

Investors holding the Series I Sovereign Gold Bond may prepare for the upcoming premature redemption date of May 30, 2022, at the specified price.