SGB redemption today: Investors to get 317% return for this Sovereign Gold Bond series

The Reserve Bank of India (RBI) announced the final redemption of Sovereign Gold Bond (SGB) 2017-18 Series-VII that will take place on Thursday, November 13, 2025, with a redemption price of Rs 12,350 per gram.

"In terms of GOI Notification F. No.4(25)-(W&M)/2017 dated October 06, 2017 (SGB 2017-18 Series-VII-Issue date November 13, 2017) on Sovereign Gold Bond Scheme, the Gold Bond shall be repayable on the expiration of eight years from the date of issue of the Gold Bonds. Accordingly, the final redemption date of the above tranche shall be November 13, 2025," RBI said in a press release.

SGB redemption today: How the redemption price is calculated

"Accordingly, the redemption price for final redemption due on November 13, 2025, shall be ₹12,350/-(Rupees Twelve Thousand Three Hundred and Fifty only) per unit of SGB based on the simple average of the closing price of gold for the three business days i.e., November 10, 2025, November 11, 2025, and November 12, 2025," the central bank said.

317% absolute returns for these SGB investors

The bond was originally issued on November 13, 2017, at a price of ₹2,961 per gram. With the maturity payout now fixed at ₹12,350, investors stand to earn an absolute return of 317%, excluding the additional annual interest of 2.5% that SGB holders have been receiving during the tenure.

The absolute return amounts to ₹12,350 minus ₹2,961, which equals ₹9,389 (excluding interest). This represents a return of 317%, calculated as (9,389 ÷ 2,961) × 100.

This interest is credited semi-annually to your bank account, and the last interest will be payable on maturity along with the principal.

Additionally, any capital gains earned by individuals through redemption are exempt from tax.