RBI Fixes SGB 2019-20 Series II Premature Redemption Price at ₹14,199 for July 16, 2026

The Reserve Bank of India (RBI) has announced the premature redemption price for Sovereign Gold Bond (SGB) 2019-20 Series II, which is due for early redemption on July 16, 2026. Eligible investors opting for premature redemption will receive ₹14,199 per unit. 

The redemption price has been determined in accordance with the Sovereign Gold Bond Scheme and is based on the average market price of gold over the prescribed period. 

SGB 2019-20 Series II Premature Redemption Price 

RBI has fixed the premature redemption price at ₹14,199 per unit for SGB 2019-20 Series II, issued on July 16, 2019. 

Under the Sovereign Gold Bond Scheme, investors are allowed to redeem their bonds prematurely after the completion of 5 years from the issue date, provided the redemption falls on an interest payment date.  

Accordingly, July 16, 2026, is the next eligible premature redemption date for this tranche. 

How RBI Calculated the Redemption Price

As per the Sovereign Gold Bond Scheme, the redemption price is calculated using the simple average of the closing price of 999 purity gold for the previous 3 business days, as published by the India Bullion and Jewellers Association Ltd. (IBJA). 

For the July 16, 2026, redemption, RBI considered the closing gold prices for: 

Based on this calculation, the redemption price has been fixed at ₹14,199 per unit. 

Read More: RBI Sets SGB 2020-21 Series IV Premature Redemption Price at ₹14,307

Who Is Eligible for SGB Premature Redemption? 

Investors holding SGB 2019-20 Series II, issued on July 16, 2019, can opt for premature redemption if they have completed the mandatory 5-year holding period and the redemption request is made in line with the scheme's provisions. 

Conclusion 

RBI has fixed the premature redemption price of SGB 2019-20 Series II at ₹14,199 per unit for investors redeeming their bonds on July 16, 2026. The redemption value has been calculated based on the average closing price of 999 purity gold over the previous 3 business days, as prescribed under the Sovereign Gold Bond Scheme. 

Read stock market news in Hindi. Head to Angel One's share market news in Hindi for comprehensive coverage.  

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.