The Reserve Bank of India (RBI) has announced the premature redemption price for the Sovereign Gold Bond (SGB) 2020–21 Series‑X, which becomes eligible for early redemption on January 19, 2026. This redemption window opens after the completion of 5 years from the issue date of January 19, 2021.
As per the Government of India (GOI) notification governing the scheme, premature redemption can only occur on interest‑payment dates. The RBI has confirmed the applicable redemption price using the prescribed gold‑price averaging mechanism.
The premature redemption of this SGB tranche is governed by GOI notification F.No.4(4)-B(W\&M)/2020 dated October 09, 2020. This notification permits early redemption only after the fifth year from the bond’s issue date.
The eligibility is further restricted to the specific dates on which interest is payable. For SGB 2020–21 Series‑X, January 19, 2026, is the next due date satisfying these conditions. The rule ensures structured liquidity while maintaining scheme uniformity.
The premature redemption price for SGB 2019–20 Series-II has been fixed at ₹14,092 per unit for January 16, 2026. The amount has been calculated using the mandated three-day average gold price method.
The notification confirms compliance with the Government of India’s prescribed redemption mechanism. This structured process provides clarity, transparency and flexibility to investors opting for early redemption under the SGB scheme.
Using the prescribed methodology, the RBI has fixed the premature redemption price at ₹14,130 per unit of SGB for January 19, 2026. This value reflects the average of IBJA’s published closing prices for the qualifying dates.
The amount will be credited to eligible investors holding units from this tranche who opt for premature redemption. The RBI communicated that this pricing mechanism ensures transparency and consistency for all SGB holders.
Read More: Check Gold and Silver Prices on Jan 19, 2026.
The RBI has confirmed that holders of the SGB 2020–21 Series-X tranche can opt for premature redemption on January 19, 2026. The redemption price has been fixed at ₹14,130 per unit.
This value has been calculated using the standard three-day IBJA gold price averaging method. The announcement upholds the structured redemption framework of the SGB scheme while ensuring transparency for investors.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Jan 19, 2026, 11:27 AM IST
Akshay Shivalkar
Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.
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