What is Sovereign Gold Bond: If you have also invested in the Sovereign Gold Bond Scheme (SGB) in the last few years, then this news is useful for you. The government may stop selling gold to the common man through Sovereign Gold Bonds (SGB). Some people in the government have said that these bonds are very expensive and difficult to understand. According to media reports, investors have bought SGBs worth Rs 72,274 crore in 67 installments. Out of these, 4 bonds have fully matured and investors have got their money back. However, no official information has been given by the government in this regard.

Investors made a profit of 228 percent in eight years

Sovereign Gold Bond (SGB) was launched by the government in the year 2015 as paper gold. A bond is a type of loan, which is taken by the government or companies. Investors deposited their money in this scheme and now the government will have to return more money to them. It is managed by RBI. When the scheme was started in 2015, the issue price was Rs 2684 per gram. On maturity in 2023, its redemption size was increased to Rs 6132 per gram. Investors made a profit of about 228 percent in eight years.

85,000 crore rupees are yet to be paid to investors.

In the budget presented in July, the government said that 85,000 crore rupees are yet to be paid to the investors. This amount is about nine times the outstanding amount of Rs 10,000 crore at the end of March 2020. Earlier, the markets seemed ready because the demand for Sovereign Gold Bond (SGB) to buy gold had increased. Till August 14, investors were ready to pay up to 8% more than the purchase and sale price fixed by the government. Sovereign Gold Bond can also be bought and sold in the market. You can buy and sell bonds on BSE and NSE through a demat account. If you make a profit by selling the bond, you will have to pay capital gains tax on the profit.

What is a Sovereign Gold Bond?

Sovereign Gold Bond is an option to buy gold, which is issued by RBI on behalf of the government. The scheme was started in November 2015 so that gold imports in the country could be controlled. These bonds come in terms of grams of gold and are based on the price of one gram of gold. The gold obtained through these bonds is cheaper than the market rate. These bonds usually have to be kept for 8 years. But you can sell them even after five years. Any person can buy a minimum of 1 gram and a maximum of 4 kg of gold through Gold Bond. At the same time, any trust or institution can buy up to 20 kg of gold every year.