Govt to Launch 4 New Gold Schemes as Diwali Gifts on Nov 5
BANGALORE: As Diwali is approaching government is gearing up to gift happiness and cheerfulness to the population. This Diwali, the Government is going to unveil four exciting gold schemes on November 5 which is two days prior to the festival of buying gold- Dhanteras.
The much awaited gold monetization scheme will rolled out to start operations by PM Narendra Modi along with 3 other gold schemes.
The gold monetization scheme or GMS will allow people to deposit their gold as an investment. A minimum of 30 grams of raw gold in the form of coins, jewelry (excluding stone) and bars should be deposited under this scheme. However, there is maximum limit to this scheme.
The gold can deposited under this scheme for three tenure options- short term (1-3 years), medium term (5-7 years) and long term (12-15 years).
The gold deposits will be accepted for short term tenure (1-3 years), medium term tenure (5-7 years) and long term tenure (12-15 years). The short term and long term tenure will receive an interest of 2.25 pct and 2.5 pct respectively.
These schemes are ways to tap the unutilized possessed gold kept in lockers and boxes in raising deposits for the banks which in turn would spawn liquidity thereby benefitting the banks.
The accepted gold will be available for auction by MMTC or any other government authorized agency. The auctions proceed will be forwarded to government’s account with RBI.
In addition to this, considering the admiration for gold in India, the gold coin scheme will also be launched by PM Modi. An official Indian gold coin will be launched for the first time which will have national emblem of Ashok Chakra engraved on its one side. The gold coins in the denominations of 5 and 10 grams along with bullions of 20 grams will be made available.
To start with, 15,000 coins of 5 grams and 20,000 coins of 10 grams and 3,750 gold bullions will be accessible.
Thirdly, a sovereign gold bond will also be launched by the PM. RBI will issue this sovereign bond on behalf of the government. These bonds can act as collateral which taking a loan and will fetch a fixed interest of 2.75 pct per annum payable semi-annually on the initial value of investment.
Normal income and capital gains taxes will be applicable on these schemes.
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