Sovereign Gold Bond 2017–18 Series XIII Redeems at ₹13,563, Delivers 369% Return Over 8 Years

Investors of the Sovereign Gold Bond (SGB) 2017–18 Series XIII are set to receive their maturity proceeds as the bond completes its 8-year term.  

Issued by the Reserve Bank of India (RBI) on behalf of the central government, the bond has declined for final redemption, making it a key moment for long-term gold investors. 

Final Redemption at ₹13,563 Offers Capital Gain of ₹10,673 Per Unit 

The SGB 2017–18 Series XIII, issued on December 26, 2017, matures on December 26, 2025. The RBI has fixed the final redemption price at ₹13,563 per gram, based on the simple average of gold prices of 999 purity for the last 3 working days prior to redemption, as published by the India Bullion and Jewellers Association (IBJA).  

The original issue price was ₹2,890 per unit. This means investors have earned a capital gain of ₹10,673 per unit over 8 years. 

Total Return Includes 2.5% Interest Over 8 Years 

In addition to capital appreciation, investors have earned a fixed interest of 2.5% per annum on the initial issue price of ₹2,890. The interest was paid semi-annually during the bond tenure.  

The interest earned is taxable under the investor’s income tax slab. However, the capital gains on maturity are exempt from tax, making it an efficient option for long-term investment in gold. 

Read More: RBI Gold Loan Guidelines 2025 Recap: 7 Big Changes Borrowers and Lenders Should Know! 

Redemption Process and Timeline 

On maturity, the redemption amount is directly credited to investors’ registered bank accounts. Investors do not need to take any additional steps unless bank account details have changed.  

The RBI has notified that the redemption will be processed within the week of the maturity date, i.e., during the last week of December 2025. 

Conclusion 

The maturity of SGB 2017–18 Series XIII provided an opportunity to gain nearly 4.7 times the initial investment over an 8-year period, along with annual interest. The capital appreciation combined with tax benefits highlights the returns for long-term gold bond holders. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or 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.