Small saving schemes Interest Rate July-Sep Quarter: The Finance Ministry reviews the interest rates on small savings schemes every quarter and changes them. Interest rates have been revised for the July-September 2023 quarter.
New Delhi: The Central Government has increased the interest rates of small savings schemes by up to 30 bps for the July-September 2023 quarter. The Center has increased the interest rates of schemes like 1 and 2 year post office time deposit, 5 year recurring deposit out of 12 types of savings schemes. Whereas, there has been no change in the interest rate on other savings schemes including Sukanya, PPF.
Interest Rates on Small Savings Schemes
The central government reviews the interest rates on small savings schemes every quarter and changes them. Issuing a circular on 30 June 2023, the Finance Ministry has revised the interest rates for the July-September quarter. The Finance Ministry has increased the interest rates on 3 post office savings schemes only for the July quarter.
- For 1 year, the interest rate on Post Office Time Deposit Scheme has been increased from 6.8 percent to 6.9 percent.
- Interest rate on 2-year post office time deposit has been increased from 6.9 per cent to 7 per cent.
- The interest rate on the 5-year Recurring Deposit Scheme has been increased from 6.2 per cent to 6.5 per cent.
Interest rates were not increased on these schemes
- Savings Deposit Scheme – Current interest rate 4.0%
- 3 Year Time Deposit Scheme – Current Interest Rate 7%
- 5 Year Time Deposit Scheme – Current Interest Rate 7.5%
- Senior Citizen Savings Scheme – Current interest rate 8.2 percent
- Monthly Income Account Scheme – Current interest rate 7.4 percent
- National Savings Certificate Scheme – Current interest rate 7.7 percent
- Public Provident Fund Scheme – Current interest rate 7.1 percent
- Kisan Vikas Patra Scheme – Current interest rate 7.5 percent
- Sukanya Samriddhi Account Scheme – Current interest rate 8 percent
Last time interest rates were raised
The government had last increased the interest rates of small savings schemes by up to 70 bps for the April-June 2023 quarter. In these, the interest rates of schemes like Senior Citizen Savings Scheme, Monthly Income Savings Scheme, National Savings Certificate, Kisan Vikas Patra, all post office fixed deposits and Sukanya Samriddhi Account Scheme were increased.
