Sovereign Gold Bond
SGB Scheme: To reduce the gold import, the government had started the Sovereign Gold Bond Scheme, in which you can invest in virtuous by not purchasing physical gold. This scheme was started by the government in 2015, in which gold bonds were issued, which were purchased by purchasing and investing, in return, interest was paid by the government as a return.
Recently, the Finance Ministry answered the success of the Sovereign Gold Bond (SGB) scheme in Parliament and questions related to its future. The ministry said that the scheme started in 2015 and has been very successful since then. Apart from this, the ministry also explained that the current global situation and geopolitical stresses have affected the issue of new installments (trench) of SGB.
When was the last installment of SGB released?
The SGB 2023-24 series IV was last introduced by the government in February 2024 at the Sovereign Gold Bond Scheme. Since then, no series of Sovereign Gold Bonds has been introduced. According to the Economic Times report, Rajni MP Rajni Ashok Rao Patil asked the government in terms of this. Has the Sovereign Gold Bond (SGB) scheme failed? If not, when will the government release the next installment? On top of this, MP Pankaj Chaudhary in Rajya Sabha gave a written reply.
Has the SGB scheme failed?
The government said, the Sovereign Gold Bond Scheme started in 2015 to reduce the physical demand for gold. As of 31 March 2025, about 146.96 tonnes of gold bonds have been sold under this scheme, which cost around Rs 72,275 crore. Out of this, by 15 June 2025, there have also been about 18.81 tonnes of bond redeem (roasted). That is, this scheme has been successful.
When will the next installment come?
The government said, the Government of India fulfills its funding requirements through many means like government security, treasury bill and sovereign gold bond. Through which medium to raise funds, its decision is taken by looking at the cost and situation. Due to recent global stresses, the prices of gold have increased considerably, due to which it has become expensive to take loans through SGB. The government is trying to reduce the cost of debt. Therefore, the situation will be well considered before releasing the new SGB installment.
When will the new SGB installment be released?
At present, the government has not fixed any date for the next installment. The government has said in Parliament that the decision of the new installment will depend on the situation in the market, the prices of gold and the cost of debt.