Sovereign Gold Bond Scheme 2022-23 - Series IV closes tomorrow; can NRIs invest in SGB? - Gold Bond Scheme 2022-23

,ET Online|

Gold Bond Scheme 2022-23 - Series IV

Latest Sovereign Gold Bond Scheme 2022-23 - Series IV will be open for subscription during March 06–10, 2023. The nominal value of the bond is equal to Rs. 5,611 per gram. The date of issuance for the same will be March 14, 2023. The nominal value of the bond is based on the three last working days of the week prior to the subscription period's closing price [announced by the India Bullion and Jewellers Association Limited (IBJA)] for 999-purity gold.

Getty Images

2/6

SGB denomination

SGB Interest

The bonds will begin to accrue interest on the nominal value on the date of issuance at a rate of 2.5% (fixed rate) annually. Half-yearly interest payments are required, and the final interest payment is due along with the principle at maturity.

Getty Images

4/6

Redemption

The Bonds will be repayable after eight years from the date of issue. Premature redemption of the Bond is available after the fifth year from the date of issue, with repayments due on the next interest payment date. The redemption price shall be established in Indian rupees and shall be based on the simple average of the closing price of gold of 999 purity reported by the India Bullion and Jewellers Association Limited over the previous three working days.

Getty Images

5/6

Can NRI invest?

Non-Resident Indians cannot invest in Sovereign Gold Bonds (SGB). While, individual investors may keep SGB until early redemption or maturity even after changing their residential status from resident to non-resident.

Getty Images

6/6

Joint holding

As per RBI, “In case of joint holding, the limit applies to the first applicant. The annual ceiling will include bonds subscribed under different tranches during initial issuance by Government and those purchased from the secondary market. The ceiling on investment will not include the holdings as collateral by banks and other Financial Institutions’

Getty Images

Sovereign Gold Bond Scheme 2022-23 - Series IV closes tomorrow; can NRIs invest in SGB? - Gold Bond Scheme 2022-23 - Series IV (2024)

Gold Bond Scheme 2022-23 - Series IV

SGB denomination

SGB Interest

Redemption

Can NRI invest?

Joint holding