New Delhi: The price of yellow metal gold has reached the sky. As gold is getting beyond the reach of the middle class, the Government of India has re-launched the Scheme of Sovereign Gold so that the citizens of the country can buy gold cheaply. The Government of India has introduced the Sovereign Gold scheme in two phases in the current financial year.
In the first phase of this scheme, Indian citizens dt. Sovereign Gold can be purchased from June 19 to June 23. It is more beneficial as two and a half percent interest is also earned every year on the purchase of this gold which is cheaper than the market price. In the first phase, sovereign gold is available at a price of 5926 per gram.
What is Sovereign Gold Scheme?
Also, Sovereign Gold Bonds are government bonds. It can be converted to demat form. If the bond is of five grams of gold, the value of five grams of gold will be the same as the value of the bond. These bonds are issued by the Reserve Bank of India (RBI). The government also takes a security guarantee for incorporation.
The lock in period of this scheme is 5 years is
The tenure of investing in Sovereign Gold Bonds is eight years. While the lock-in period is 5 years. The maturity of these bonds is 8 years. Through Sovereign Gold Bonds, investors can invest at least one gram per year and additionally up to 4 kg of gold.
Sovereign Gold can be bought here
Investors can buy these gold bonds from Stock Holding Corporation of India Limited, Post Office and Stock Exchange, NSE and BSE. On purchase of one unit of gold bond, the value is deducted from the person’s demat account.
Bonds can be purchased online in this way
1. Login to the bank’s internet banking account
2. Select the e-service option and select the Sovereign Gold Bond option
3. Read carefully all terms and conditions of RBI
4. Filling and submitting the registration form
5. Then fill the nominee details by filling the subscription amount in the purchase form
6. After filling the details click on submit button
Those who shop digitally will get a discount
Investors who will use online i.e. digital means for payment will get an additional discount of 50 rupees per gram. Investors paying online will have to pay Rs 5876 per gram. Apart from this, investors can use cash, DD, check for offline payment.
How much can one buy in a year?
Apart from Indian citizens, these bonds can be purchased by Hindu Undivided Families (HUF), trusts, universities and charitable institutions. Individual investors can buy a maximum of 4 kg gold bonds in a year. Apart from this, trusts or organizations can purchase bonds of maximum 20 kg per year.
There will be an opportunity to buy cheap gold again in September
The Government of India has divided the Sovereign Gold Bonds scheme into two phases during the first half of the current financial year. The first phase will be available for subscription to investors from 19 June 2023 to 23 June 2023 while the second phase will open from 11 September 2023 to 15 September 2023. RBI will decide the issue price as per market price when the scheme will be re-launched in September.