Govt fixes Rs 3,119/gm price for next series of gold bonds

The government has fixed the price at Rs 3,119 per gram for the new series of sovereign gold bonds (SGBs) opening Monday.

The Sovereign Gold Bonds 2018-19 (Series IV) will be opened for the period December 24-28, 2018, the Finance Ministry said Friday.

Further, the government has decided to allow discount of Rs 50 per gram 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 3,069 per gram of gold.

The Sovereign Gold Bonds are being issued every month from October 2018 until February 2019 as per a specified calendar.

The bonds would be sold through banks, Stock Holding Corporation of India Limited (SHCIL), designated post offices, and stock exchanges -- National Stock Exchange and BSE.

The sovereign gold bond scheme was launched in November 2015 with an objective to reduce the demand for physical gold and shift a part of the domestic savings -- used for the purchase of gold -- into financial savings.

Under the scheme, the bonds are denominated in units of one gram of gold and multiples thereof. Minimum investment in the bonds is one gram with a maximum limit of subscription of 500 grams per person per fiscal year.

The maximum limit of subscription is 4 kg for individual and HUF and 20 kg for trusts and similar entities per fiscal (April-March).

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)