The Indian government is set to launch the second installment of the Sovereign Gold Bond Scheme for the current fiscal year, starting on September 11th. This initiative offers a secure and cost-effective way for investors to own gold, backed by the Central Government. In this article, we will delve into the essential details of this upcoming installment, highlighting its pricing, discounts, and where investors can participate.
Pricing and Commencement
The Reserve Bank of India (RBI) recently disclosed that the second tranche of Sovereign Gold Bonds (SGBs) will be available at a fixed price of Rs 5,923 per gram. The sale of these gold bonds is scheduled to commence on September 11th. This marks the continuation of the SGB scheme for the current financial year and presents a valuable investment opportunity.
Discounts for Online and Digital Investors
In a move to promote digital transactions, the government has collaborated with RBI to offer a discount of Rs 50 per gram on the issue price for investors who apply online and make payments through digital modes. Consequently, the issue price for these investors will be Rs 5,873 per gram of gold. This incentive aims to encourage a cashless and digitally empowered investment environment. The subscription window for this tranche will be open from September 11th to September 15th.
Accessible Purchase Channels
Prospective investors have multiple avenues to purchase these gold bonds. They can acquire SGBs through various financial institutions, including banks, the Stock Holding Corporation of India Limited (SHCIL), designated post offices, and recognized stock exchanges such as BSE and NSE. This extensive network ensures ease of access for individuals looking to invest in gold through the SGB scheme.
A History of Promoting Savings
The Sovereign Gold Bond Scheme, launched in November 2015, serves a dual purpose. It not only enables individuals to invest in gold but also aims to reduce the demand for physical gold. By promoting savings in the form of gold bonds, the scheme contributes to financial inclusion and responsible investment practices.