Sovereign Gold Bond: This tranche matures today, investors set to earn over 300% return-- check details

Sovereign Gold Bond (SGB) 2017-18 Series IX matures today

The Reserve Bank of India (RBI) has announced the final redemption details for the Sovereign Gold Bond (SGB) 2017-18 Series IX. The tranche was issued on November 20, 2017 and is reaching its maturity today, i.e. November 27, 2025 completing the eight year mandate under the Government of India’s notification F.No.4(25)-(W&M)/2017 dated October 06, 2017. As per the terms of issuance, the bonds are redeemable on expiry of eight years from the date of issue—November 27, 2017.

For Sovereign Gold Bond (SGB) 2017-18 Series IX, RBI has fixed the final redemption price at Rs 12,484 per unit for this tranche, calculated on the basis of the simple average of 999-purity gold prices published by the India Bullion and Jewellers Association (IBJA) for the three business days preceding the redemption date — November 24, 25 and 26, 2025.

Sovereign Gold Bond (SGB) 2017-18 Series IX had an issue price of Rs 2,964 per gram. Investors who subscribed at the issue price of Rs 2,964 per gram (the original issue price for this tranche), will receive the maturity amount directly into their linked bank accounts.

Investors Earn Rs 9,520 gain per unit

If you invested in the Sovereign Gold Bond (SGB) 2017-18 Series IX, you’re in for a solid payout. The bond was originally issued at around Rs 2,964 per gram (Rs 2,914 if you bought it online). Now, at maturity on November 27, 2025, it will be redeemed at Rs 12,484 per unit. That means your money has grown by about Rs 9,500 per gram — a jump of over 320% in eight years. With interest income added, the effective overall return becomes even higher, making this tranche one of the most rewarding SGB investments for long-term holders.

What is the Sovereign Gold Bonds scheme?

SGB Scheme was introduced by the Indian government in November, 2025 as an alternative to attract gold ownership. The bonds were issued by the RBI for and on behalf of the Centre. The bonds denominated in grams of gold offered investors dual benefit-- earning a fixed annual interest of 2.5% on the issue price and earning capital appreciation linked to gold prices. The scheme majorly aimed to reduce India’s reliability on imported physical gold, curb hoarding, and channel household savings into financial assets.

The bonds have a fixed term of eight years, but investors can exit after five years on interest payment dates if they wish. SGBs can also be traded on stock exchanges, transferred to others, or used as collateral for loans.

How Do Sovereign Gold Bonds Work?

If you want to invest in Sovereign Gold Bonds, all you need is to purchase Sovereign Gold Bond from either a bank, SHCIL or designated post offices. For offline purchases, an SGB certificate from the holding of the issuing bank or designated post offices is issued. You can collect it. In case you have purchased an SGB online, your demat account portfolio will reflect. The SGBs offer an interest of 2.5% per annum.

What is the tax treatment of Sovereign Gold Bonds

As per the provisions of the Income-tax Act, 1961 (Section 43 of 1961) the interest on the SGBs is taxable. When an individual redeems these bonds, they are free from paying capital gains tax. Any capital gains that result from the transfer of the bonds on the exchange will be eligible for the indexation benefits.