Interest rates on small savings slashed from April 1; saving deposit down to 3.5%, PPF rate revised to 6.4%
New Delhi | Jagran Business Desk:The government on Thursday slashed interest rates on small savings with savings desposit revised from 4 per cent to 3.5 per cent annually and the PPF rate down from 7.1 per cent to 6.4 per cent annually. The revised rates will come into effect from April 1 and remain effective till June 30, 2021.
"In exercise of the powers conferred by Rule 9(1) of the Government Savings Promotion General Rules, 2018, the rates of interest on various small savings schemes for the Q1 of FY 2021-22 have been revised," the Finance Ministry said in an official notification.
The 1-year time deposit rate has been revised from 5.5 per cent to 4.4 per cent quarterly. Senior citizen savings schemes rate has also been revised from 7.4 per cent to 6.5 per cent, quarterly and paid.
The girl child savings scheme Sukanya Samriddhi Yojana will offer 6.9 per cent interest rate as againsta rate of 7.5 per cent earlier.
Govt cuts interest rates on small savings wef from April 1— ANI (@ANI) March 31, 2021
Savings deposit revised from 4% to 3.5%,annually.
PPF rate down from 7.1% to 6.4%,annually.
1 yr time deposit revised from 5.5% to 4.4%,quarterly.
Senior citizen savings schemes rate down from 7.4% to 6.5%,quarterly&paid pic.twitter.com/x05Hko3vho
The Centre had kept interest rates unchanged since the last three quarters. In April-June 2020, it had cut rates by about 70-140 basis points.
Posted By: Abhinav Gupta