The Reserve Bank of India has fixed the premature exit price for issued in 2019-20 at ₹15,328 per unit. This translates to an incredible 264% return for investors over just five years.
₹15,328 per gram
SGB Exit Price
Issue Price (2020): ₹4,204 per gram→₹15,328 per gram
⏳ Time Machine
How today’s news fits into the bigger picture
2015
Sovereign Gold Bond scheme launched
Prime Minister Narendra Modi launches the Sovereign Gold Bond scheme to reduce and domestic gold-buying.
2020
Series X tranche issued
The 2019-20 Series X tranche is issued at ₹4,204 per gram amid early pandemic market uncertainty.
July 2024
Import duty on gold cut
The Indian government slashes import duties on gold, briefly cooling domestic prices before global factors push them back up.
Today
RBI sets SGB 2019-20 Series X exit price at ₹15,328, giving a 264% return.
What happens next?
The government may limit future SGB issuances to reduce its fiscal payout burden by late 2026.
Investors in India's Sovereign Gold Bond (SGB) scheme are celebrating a massive windfall on Monday. The RBI has announced the early exit price for the 2019-20 Series X tranche at ₹15,328 per gram. Launched five years ago at an issue price of just ₹4,204 per gram, this bond has generated a staggering 264% return. SGBs have proven to be a highly successful asset class, combining capital appreciation from rising global gold prices with a guaranteed 2.5% annual interest payout. As global inflation and geopolitical tensions drive gold prices to historic highs, this payout highlights the power of paper gold over physical metal.
💭 If you're wondering…
No, individual investors are entirely exempt from paying capital gains tax if they hold the bonds until the final maturity.
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