The gold bonds will be opened for subscription between July 6 and July 10, 2020 with settlement date being July 14, 2020.
The government has fixed the issue price of Sovereign Gold Bond Scheme 2020-21 (Series IV) at Rs 4,852 per gram of gold. The bonds will be opened for subscription between July 6 and July 10, 2020 with settlement date being July 14, 2020.
In consultation with the Reserve Bank of India, the government has decided to allow discount of Rs 50 per gram of gold from the issue price to those investors who apply online and the payment is made through digital mode. For such investors, the issue price of Gold Bond will be Rs 4,802 per gram of gold.
It may be noted that in April this year, the RBI had announced that the government will issue Sovereign Gold Bonds (SGBs) in 6 tranches beginning April 20 till September 2020.
As per the notification issued in April, subscription for the gold bonds may be made in the prescribed application form (Form A) or in any other form as near as thereto, stating clearly the grams (in units) of gold and the full name and address of the applicant. Every application must be accompanied by the ‘PAN details’ issued by the Income Tax Department to the investor(s).
Scheduled Commercial Banks (excluding RRBs, Small Finance Banks and Payment Banks), designated Post Offices (as may be notified), Stock Holding Corporation of India Ltd (SHCIL) and recognized stock exchanges viz., National Stock Exchange of India Limited and Bombay Stock Exchange Ltd are authorized to receive applications for the Bonds either directly or through agents and render all services to the customers The Receiving Office shall issue an acknowledgment receipt in Form ‘B’ to the applicant.