The final redemption price for the Sovereign Gold Bond 2018-19 Series-I, due on May 4, 2026, has been announced by the Reserve Bank of India, calculated based on gold prices.
Final Redemption under Sovereign Gold Bond (SGB) Scheme
The Reserve Bank of India has confirmed the redemption price for the Sovereign Gold Bond (SGB) 2018-19 Series-I, which will mature on May 4, 2026. The final redemption price is determined by the simple average of the closing price of gold of 999 purity over the previous three business days.
According to the Government of India’s notification dated April 13, 2018, these bonds are repayable at the end of the eight-year period post-issuance, which underscores the commitment to secure investment strategies in gold as an asset class in India.
For legal practitioners in the financial sector, this announcement is essential for advising clients engaged in gold investments and those involved in transactions linked to gold bonds. Practitioners should ensure compliance with the procedural requirements for redemption and be informed about the market implications of gold price fluctuations.
Citations
- Government of India Notification F.No. 4(8)-W&M/2018 (2026)