Government announces launch of seven-year floating rate savings bonds

Government has announced the launch of seven-year Floating Rate Savings Bonds, 2020 (Taxable) scheme commencing from 1st  July.

According to an RBI notification, Floating Rate Savings Bonds will enable a person resident in India or Hindu Undivided Family to



invest in a taxable bond, without any monetary ceiling.

The interest on the bonds is payable semi-annually on 1st January and 1st July every year. The coupon on 1st January 2021 shall be paid at 7.15 percent.