RBI bonds Scheme not closed :Finance Minister
The Finance Ministry today said RBI Bonds Scheme has not been closed but the interest rate on such papers lowered to 7.75 per cent. Yesterday, the government notified that the 8 per cent GoI Savings (Taxable) Bonds, 2003 “shall cease for subscription with effect from the close of business on Tuesday, January 2, 2018.”
“The 8 per cent Savings Bonds Scheme, also known as RBI Bonds Scheme, is not being closed. 8 per cent Scheme is being replaced by 7.75 per cent Savings Bonds Scheme,” Economic Affairs Secretary SC Garg said in a tweet. These taxable bonds are meant for individual other than Non-Resident Indians with no maximum limit for investment.
In 2003, the government came out with bonds offering 8 per cent interest to encourage retail investors to invest. The bond was open for subscription from April 21, 2003, and had a fixed tenure of six years. There was no upper limit for investment.
The Mint, New Delhi, 03rd January 2018