Executive Summary:
This document announces the Sovereign Gold Bond (SGB) Scheme 2020-21, Series VII, VIII, IX, X, XI, and XII, as per the Government of India's notification dated October 9, 2020. It specifies the dates of subscription and issuance for each series. Receiving offices are responsible for accepting applications and servicing investors, guided by RBI's existing guidelines.
Key Points / Main Content:
* **Sovereign Gold Bond Scheme 2020-21:**
* Series VII through XII are announced.
* Each tranche will have a distinct series number.
* Terms and conditions are as per the Government of India's notification F.No4.4B WM2020 dated October 9, 2020.
* **Dates of Issuance:**
* Series VII: Subscription October 12-16, 2020; Issuance October 20, 2020.
* Series VIII: Subscription November 09-13, 2020; Issuance November 18, 2020.
* Series IX: Subscription December 28, 2020 - January 01, 2021; Issuance January 05, 2021.
* Series X: Subscription January 11-15, 2021; Issuance January 19, 2021.
* Series XI: Subscription February 01-05, 2021; Issuance February 09, 2021.
* Series XII: Subscription March 01-05, 2021; Issuance March 09, 2021.
* **Subscription Details:**
* Subscription is open Monday to Friday on specified dates.
* The Central Government can close the scheme early with prior notice.
* **Application Process:**
* Use prescribed application form (Form A) or similar, stating gold units and applicant details.
* PAN details are mandatory for all applicants.
* **Authorized Receiving Offices:**
* Scheduled Commercial Banks (excluding RRBs, Small Finance Banks, and Payment Banks).
* Designated Post Offices.
* Stock Holding Corporation of India Ltd (SHCIL).
* Recognized stock exchanges (NSE and BSE).
* Authorized to receive applications directly or through agents.
* Issue acknowledgment receipt in Form B.
* **Responsibilities of Receiving Offices:**
* Provide service to SGB investors.
* Follow RBI guidelines (circular IDMD.CDD.273014.04.050201920, dated April 13, 2020).
* **Other Terms and Conditions:**
* As specified in GOI Notification F.No.42WM2018 dated March 27, 2018.
Impact Analysis
* **Scheduled Commercial Banks (excluding RRBs, Small Finance Banks, and Payment Banks), Designated Post Offices, SHCIL, NSE, and BSE:**
* Impact: Authorized to receive applications and provide services for SGBs.
* Action Required: Accept applications, provide services to investors, and adhere to RBI guidelines.
* **Sovereign Gold Bond Investors:**
* Impact: Can invest in SGBs during the specified subscription periods.
* Action Required: Apply for SGBs using the prescribed form with PAN details during the subscription period.
Key Entities Referenced
Sovereign Gold Bond Scheme: A scheme by the Government of India to allow investment in gold bonds.
Government of India: The governing body of India, which announced the Sovereign Gold Bond Scheme.
National Stock Exchange of India Ltd.: A recognized stock exchange authorized to receive applications for the Sovereign Gold Bonds.
Bombay Stock Exchange Ltd.: A recognized stock exchange authorized to receive applications for the Sovereign Gold Bonds.
Reserve Bank of India: India's central bank, which issues guidelines for servicing the Sovereign Gold Bonds.
Stock Holding Corporation of India Ltd.: An entity authorized to receive applications for the Sovereign Gold Bonds.
Income Tax Department: The Indian government agency responsible for income tax collection; PAN details issued by them are required for bond application.
R. Gurumurthy: Chief General Manager at Reserve Bank of India
RBI/2020-2021/52
IDMD.CDD.No.730/14.04.050/2020-21 October 9, 2020
The Chairman& Managing Director
All Scheduled Commercial Banks,
(Excluding RRBs)
Designated Post Offices
Stock Holding Corporation of India Ltd.(SHCIL)
National Stock Exchange of India Ltd. & Bombay Stock Exchange Ltd.
Dear Sir/Madam,
Sovereign Gold Bond Scheme (SGB) 2020-21- Series VII, VIII, IX, X, XI, XII
Government of India has vide its Notification No F.No4.(4)-B (W&M)/2020 dated October 9,
2020 has announced the Sovereign Gold Bond Scheme 2020-21, Series VII, VIII, IX, X. XI
and XII. Under the scheme there will be a distinct series (starting from Series VII) for every
tranche. The terms and conditions of the issuance of the Bonds shall be as per the above
notification.
2. Date of Issue
The date of issuances shall be as per the details given in the calendar below
Sr. No. Tranche Date of Subscription Date of Issuance
1. 2020-21 Series VII October 12 - 16, 2020 October 20, 2020
2. 2020-21 Series VIII November 09 - 13, 2020 November 18, 2020
3. 2020-21 Series IX December 28 2020 - January 01, 2021 January 05, 2021
4. 2020-21 Series X January 11-15, 2021 January 19, 2021
5. 2020-21 Series XI February 01- 05, 2021 February 09, 2021
6. 2020-21 Series XII March 01- 05, 2021 March 09, 20213. Period of subscription.
The Subscription of the Gold Bonds under this Scheme shall be open (Monday to Friday) on
the dates specified above, provided that the Central Government may, with prior notice,
close the Scheme at any time before the period specified above.
4. Application
Subscription for the Bonds may be made in the prescribed application form (Form A) or in
any other form as near as thereto, stating clearly the grams (in units) of gold and the full
name and address of the applicant. Every application must be accompanied by the ‘PAN
details’ issued by the Income Tax Department to the investor(s). Scheduled Commercial
Banks (excluding RRBs, Small Finance Banks and Payment Banks), designated Post
Offices (as may be notified), Stock Holding Corporation of India Ltd (SHCIL) and recognized
stock exchanges viz., National Stock Exchange of India Limited and Bombay Stock Exchange
Ltd. are authorized to receive applications for the Bonds either directly or through agents and
render all services to the customers The Receiving Office shall issue an acknowledgment
receipt in Form B’ to the applicant.
5. In addition to receipt of application, the Receiving Offices are also entrusted with the
responsibility of providing service to the investors of the SGB and are required to be guided
by rules and regulations issued by RBI in this regard from time to time. With a view to
facilitate availability of all current operative instructions regarding servicing of these bonds at
one place, RBI has issued consolidated procedural/operational guidelines vide circular
IDMD.CDD.2730/14.04.050/2019-20, dated April 13, 2020. and the same is available on RBI
website. The Receiving Offices shall be guided by these instructions while dealing with all
the procedural aspects and providing service to the investors.
6. All other terms and conditions specified in the notification of Government of India in the
Ministry of Finance (Department of Economic Affairs) vide Notification F.No.4(2)-W&M/2018
dated March 27, 2018 shall apply to the Bonds.
Yours faithfully,
(R. Gurumurthy)
Chief General Manager