Sgb New Tranche: When Will Govt Issue Next Tranche Of Sovereign Gold Bonds? | Economictimes

Sgb new tranche when will govt issue next tranche of sovereign gold bonds aug 1 2024 by et online

Sgbs for this year the government is yet to announce the dates for the sgb tranches for the current financial year image source et online

Sgb targets cut the government has slashed its gold bond issuance target for this financial year by 38 from the record interim budget goal a senior official said indicating waning investor interest amid better alternatives stated an et report image source et online

Lower quantum the central government may issue a lower quantum of sgbs for the financial year 202425 it plans to float rs 18500 crore worth of sgbs in fy 202425 against rs 29638 crore estimated in the interim budget 2024 image source et online

Losing sheen a growing number of retail investors are choosing to invest in equities for better returns however after recent years of rallying there is uncertainty about whether gold prices will continue to rise in the shorttomedium term image source et online

Govt’s liability on sgbs the prices of gold have more than doubled since 2015 making sgbs one of the most expensive borrowing instruments with strong gold investment fundamentals in place it is likely that gold will remain bullish for the next few years this could potentially lead to increasing cost pressures on redemption and reducing the number of issuances for the current year image source et online

No more sgbs the availability of sgbs this year may not be impacted if the government sticks to the revised target based on retail demand however if the government reduces or stops further issuance of sgbs availability may become an issue image source et online

What should investors do consider gold prices carefully before buying older sgb issues as they are currently trading at a premium unlike in the past this premium may erode in the near future image source et online

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