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RBI sets premature redemption price of Sovereign Gold Bond 2019 20 Series V at Rs 15009 per unit for April 15 2026 based on average recent gold prices
The Sovereign Gold Bond (SGB) Premature Redemption
The Reserve Bank of India has announced the premature price for the Sovereign Gold Bond (SGB) 2019-20 Series V, which were issued on October 15, 2019. The series will be available for redeem on April 15, 2026.
The Central bank has set the price at Rs 15,009 per bond unit, which was taken on the basis of the average gold price of last 3 working days.
RBI in its press release said that (SGB 2019-20 Series-V-Issue date October 15, 2019) on Sovereign Gold Bond Scheme, premature redemption of Gold Bond may be permitted after fifth year from the date of issue of such Gold Bond on the date on which interest is payable. Accordingly, the next due date of premature redemption of the above tranche shall be on April 15, 2026.
“Further, the redemption price of SGB shall be based on simple average of closing price of gold of 999 purity of previous three business days from the date of redemption, as published by the India Bullion and Jewellers Association Ltd (IBJA). Accordingly, the redemption price for premature redemption due on April 15, 2026, shall be ₹15,009/- (Rupees Fifteen Thousand and Nine Only) per unit of SGB based on the simple average of closing price of gold for the three business days i.e., April 09, April 10, and April 13, 2026, it added.
What Is The Return For Investors?
To calculate your profit from the Sovereign Gold Bond, the key thing you need is your buying price (issue price). In your case, the redemption price is Rs 15,009 per unit. The issue price for this tranche was roughly around Rs 3,788–3,800 per unit. So, if you bought it at around Rs 3,800, your profit per unit would be Rs 15,009 minus Rs 3,800, which equals about Rs 11,209. That means your investment has grown almost 3–4 times. On top of this, you also earned 2.5% interest every year for around 6.5 years, which adds extra income. In simple terms, your total profit comes from both the price increase and the interest earned over time.
What Is SGB Premature Redemption?
Sovereign Gold Bonds (SGBs) allow premature redemption after completing 5 years from the issue date, even though their full maturity is 8 years. This early exit is only allowed on the interest payment dates (which come every 6 months). If you choose to redeem, the amount you receive is based on the average market price of gold (999 purity) over the last 3 working days before redemption, as published by IBJA. To redeem, you simply need to submit a request through your bank, post office, or demat account provider before the due date. This gives investors flexibility to exit early while still benefiting from gold price appreciation.
April 14, 2026, 5:03 PM IST
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