Interest rate on Small Saving Schemes changed; know new rates
The government has increased interest rates on small savings schemes by 10 to 30 basis points for the July-September 2023 quarter.
The Finance Ministry made this announcement through a circular issued on June 30, 2023. This new rate will be applicable for the quarter from July 01 to September 30, 2023.
Interest rate increased on these schemes
The interest rates of schemes like 1 and 2 year post office time deposit, 5 year recurring deposit have been increased.
It has been told by the Ministry of Finance that the interest rate on the one-year fixed deposit scheme has been increased from 6.8 percent to 6.9 percent, on the two-year scheme from 6.9 percent to 7 percent, and on the five-year recurring deposit. The rate of interest payable has been increased from 6.2 percent to 6.5 percent.
Interest rate did not increase on these schemes
The interest rate on Senior Citizen Savings Scheme (SCSS) has been kept at 8.2 percent, the interest rate on Public Provident Fund (PPF) has been kept at 7.1 percent, the interest rate on Kisan Vikas Patra (KVP) has been kept at 7.5 percent.
Apart from this, the interest rate on National Savings Certificate has been kept at 7.7 percent, the interest rate on Sukanya Samriddhi Account Scheme has been kept at 8 percent and the interest rate on Monthly Income Account Scheme has been kept at 7.4 percent. The interest rates on small savings schemes are reviewed by the government every quarter.
How much was the rate increased in the last announcement?
In the last announcement, the government had announced a hike of up to 70 basis points (bps) in most small savings interest rates for the April-June 2023 quarter.
