The Government today withdrew the steep cuts on interest rates on small savings schemes, announced last evening. The rollback comes on the day Bengal and Assam are voting in the second phase of state elections. The cuts in schemes would have hurt millions of middle-class depositors.
Union Finance Minister Nirmala Sitharaman said that now the rate of interest on these deposits will remain unchanged as the last quarter of 2020-2021. “Interest rates of small savings schemes of government of India shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021. Orders issued by oversight shall be withdrawn,” tweeted the Finance Minister.
Here are the latest PPF, Sukanya Samridhi, and other small saving schemes interest rates after the rollback.
1) The rate of interest for savings deposits will fetch 4 per cent.
2) Sukanya Samriddhi Account Scheme will give a 7.6 per cent rate of interest.
3) Public Provident Fund will continue giving 7.1 per cent.
4) National Savings Certificate will fetch an interest rate of 6.8 per cent.
5) For Kisan Kisan Vikas Patra, depositors will get 6.6 per cent.
6) The rate of interest for the Senior Citizen Savings Scheme will be 7.6 per cent.
7) For schemes with quarterly compounding frequency, the interest of one-year to three-year time deposit – 5.5 per cent. For a five-year time deposit scheme- 6.7 per cent.
8) For the five-year recurring deposit, the interest will be 5.8 per cent.