The
Sovereign Gold Bond (SGB) Scheme is one of the most trusted investment options launched by the Government of India in November 2015 under the Gold Monetisation Scheme. Managed by the
Reserve Bank of India (RBI), it offers investors a safer and more rewarding alternative to buying physical gold.
Every financial year, the RBI issues several tranches of Sovereign Gold Bonds for subscription, with specific dates, interest rates, and terms announced through official press releases. Let’s understand the SGB interest rate list, redemption details, eligibility, and benefits in simple terms.
Highlights of Sovereign Gold Bond Scheme 2025
| Feature | Details |
|---|
| Scheme Name | Sovereign Gold Bond Scheme (SGB) |
| Launched By | Government of India (in November 2015) |
| Issued By | Reserve Bank of India (RBI) |
| Type of Investment | Government-backed gold investment |
| Eligible Investors | Resident Individuals, HUFs, Trusts, Universities, Charitable Institutions |
| Minimum Investment | 1 gram of gold |
| Maximum Investment | 4 Kg (individuals & HUFs), 20 Kg (trusts & institutions) per year |
| Tenure | 8 years (with exit option after 5th, 6th, and 7th year) |
| Interest Rate | 2.50% per annum (fixed) payable semi-annually |
| Mode of Issue | Physical certificate or Demat form |
| Mode of Payment | Cash (up to ₹20,000), cheque, demand draft, or online payment |
| Online Discount | ₹50 per gram discount for digital applications |
| Tax Benefits | No capital gains tax on redemption; interest taxable as per IT Act |
| Tradability | Tradable on stock exchanges (within 14 days of issue) |
| Collateral Use | Can be used as security for loans |
| Redemption Price | Based on 999 purity gold average price (IBJA rates) |
Sovereign Gold Bond Interest Rate 2025
The interest rate on Sovereign Gold Bonds is fixed at 2.50% per annum on the initial investment amount. This interest is paid semi-annually directly to the investor’s registered bank account.
Apart from earning interest, investors also benefit from gold price appreciation, making it a dual-benefit investment — regular income + potential capital gain.
For example:
If you invest ₹1,00,000 in SGBs, you will earn ₹2,500 annually as interest (₹1,250 every six months), apart from any increase in gold prices over time.
Sovereign Gold Bond Calendar for 2023–24 (Recent Tranches)
| No. | Tranche | Date of Subscription | Date of Issuance |
|---|
| 1 | 2023–24 Series III | December 18 – December 22, 2023 | December 28, 2023 |
| 2 | 2023–24 Series IV | February 12 – February 16, 2024 | February 21, 2024 |
RBI announces new SGB tranches periodically, generally six to eight times per year. Before every issue, the price per gram and calendar are declared through an official press release on www.rbi.org.in.
Premature Redemption Calendar (April 2025 – September 2025)
nvestors can redeem their Sovereign Gold Bonds after the 5th year, on interest payment dates. Below is the official RBI calendar for premature redemption:
| No. | Tranche | Issue Date | Premature Redemption Date | Request Submission Period |
|---|
| 1 | 2017–18 Series III | October 16, 2017 | April 16, 2025 | March 17 – April 7, 2025 |
| 2 | 2017–18 Series IV | October 23, 2017 | April 23, 2025 | March 24 – April 15, 2025 |
| 3 | 2017–18 Series V | October 30, 2017 | April 30, 2025 | March 31 – April 21, 2025 |
| 4 | 2017–18 Series VI | November 6, 2017 | May 6, 2025 | April 5 – April 28, 2025 |
| 5 | 2018–19 Series II | October 23, 2018 | April 23, 2025 | March 24 – April 15, 2025 |
| 6 | 2019–20 Series IV | September 17, 2019 | September 17, 2025 | August 18 – September 8, 2025 |
| 7 | 2020–21 Series VI | September 8, 2020 | September 8, 2025 | August 8 – August 29, 2025 |
Benefits of Investing in SGB Scheme
- Safe & Government-backed: No risk of theft, impurity, or storage issues like physical gold.
- Regular Income: Earn a fixed 2.5% interest per annum.
- Tax Benefits: No capital gains tax on redemption after maturity.
- Collateral for Loans: Can be pledged to banks for personal or business loans.
- Price Appreciation: Benefit from rising gold prices over the years.
- Online Discount: ₹50 per gram discount on digital applications.
Eligibility and KYC Requirements
- Eligible Investors: Indian citizens, HUFs, Trusts, Universities, and Charitable Institutions.
- Age: Any individual can invest (including on behalf of a minor).
- Documents Required: PAN card (mandatory), Aadhaar, Passport, or Voter ID.
- Mode of Holding: Physical certificate or Demat form.
How to Buy Sovereign Gold Bonds
You can purchase SGBs through:
- Nationalized and Private Banks
- Post Offices
- Stock Holding Corporation of India Ltd. (SHCIL)
- RBI Retail Direct Portal
- Recognized Stock Exchanges (NSE, BSE)
Online investors also enjoy a discount of ₹50 per gram.
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