Mumbai: Sovereign Gold Bond (SGB) investors are benefiting from gold record prices this year. Statistics show that investors investing in the fourth installment of SGB for the financial year 2016-17 are getting more than 190% returns at current prices.
The SGB series released in March 2017 was redempted on March 17 and the Reserve Bank of India declared its redemption price of Rs 8634 per gram.
The issue price of this eight -year bond was Rs 2,943 per gram. Thus, investors received a 193 percent return on the original investment, stating that sources from the Reserve Bank.
According to the India Bullion and Jewelers Association (IBJA), the final redemption price has been fixed on 17 March 2025 based on the average of the last three working days of .999.
It is noteworthy here that in view of the unprecedented increase in gold prices, the government has not announced a single series for the current financial year and the Finance Ministry recently indicated that the SGB scheme has been postponed.
At the end of last week, the price of gold per ounce in the global market reached $ 3,000, while the price of ten grams of gold in the domestic market reached Rs 90,000.
The savings are also given 2.50 percent interest per year on their SGB investment. The benefits received on the SGB kept till maturity have been exempted from the capital profit tax.
The present government announced the SGB scheme in 2015 with the aim of reducing the current gold demand in the country.
