THIRUVANANTHAPURAM: All branches of State Bank of Travancore (SBT) have started accepting applications for sovereign gold bonds. The issue has been opened on March 8 and will close on March 14.
Recently, the Reserve Bank of India, in consultation with the Government of India, had decided to issue the third tranche of sovereign gold bonds. The bond is a suitable alternative to purchasing metal gold.
The bonds will be issued on March 29. The minimum subscription amount is rupee equivalent of two gram of gold and the maximum is 500 gm. The present rate fixed by the Central Government is `2,916 per gram.
The rate of interest on the investment will be 2.75 per annum payable semi-annually on the initial value of investment.
The tenor of the bond will be eight years with exit option from 5th year.