RBI Sets Early Redemption Rate for Gold Bond Series
The Reserve Bank of India has announced the premature redemption price for the Sovereign Gold Bond 2021-22 Series V. Investors holding this particular tranche are eligible for early redemption, which falls due on August 17, 2026. This option becomes available as the bond has completed five years from its original issue date of August 17, 2021, aligning with the terms laid down in the initial government notification.
Calculation Method and Final Valuation
The central bank determines the redemption value using a specific valuation mechanism linked to market rates. The final price is calculated based on the simple average of the closing price of 999 purity gold over the preceding three business days, as reported by the India Bullion and Jewellers Association Ltd. Based on the rates recorded on August 12, August 13, and August 14, 2026, the official redemption price has been fixed at Rs 15,295 per unit of the gold bond.
Key Details for Investors
Investors participating in this early exit option should take note of the operational parameters governing the scheme:
- Series affected: Sovereign Gold Bond 2021-22 Series V
- Scheduled redemption date: August 17, 2026
- Final redemption price: Rs 15,295 per unit
- Pricing benchmark: Three-day simple average of IBJA closing prices for 999 purity gold
Holders of this series opting for premature redemption will receive the calculated amount directly into their registered bank accounts as per the standard procedural guidelines established by the central bank and participating financial institutions.
Primary source: This independent news summary is based on official information from Reserve Bank of India. Read the original document for complete details.