No change in interest rates on small savings schemes

Tribune News Service

New Delhi, December 31

The government on Thursday kept the interest rates on small savings schemes, including PPF and NSC, unchanged for the January-March quarter amid moderating bank deposit rates.

Public Provident Fund (PPF) and National Savings Certificate (NSC) will continue to carry an annual interest rate of 7.1% and 6.8%, respectively. Interest rates for small savings schemes are notified by the Finance Ministry on a quarterly basis.

“The rates of interest on various small savings schemes for the fourth quarter of 2020-21 ending on March 31 shall remain unchanged from those notified for the third quarter (October 1-December 31, 2020)”, the Finance Ministry said.

Accordingly, the interest rate for the five-year Senior Citizens Savings Scheme has been retained at 7.4%. The interest on the senior citizens’ scheme is paid quarterly. Interest rate on savings deposits has been retained at 4% annually.