Small Saving Schemes: Investors of small savings schemes disappointed, interest rates not increased on PPF Sukanya Samriddhi Yojana

Public Provident Fund: Once again there has been no change in the interest rates of Public Provident Fund. 7.1 percent interest is being given on PPF.

Small Saving Schemes Rates: Investors investing in the government's small savings schemes have been disappointed for the second consecutive quarter. There has been no change in the interest rates of savings schemes of post office deposits including PPF, Sukanya Samriddhi Yojana for the second quarter of the current financial year 2024-25 from July to September. The Finance Ministry said that no change has been made in the interest rates of small savings schemes in the second quarter of this financial year.

The Department of Economic Affairs of the Ministry of Finance issued an office memorandum stating that for the second quarter of the financial year 2024-25 which is starting from 1 July 2024 and will end on 30 September 2024, it has been decided not to make any change in the interest rates of small savings schemes and the interest which was in the first quarter of the current financial year from 1 April to 30 June 2024, the same interest rate will continue to be available on these schemes.

The most disappointed with this decision of the Ministry of Finance are the investors investing in Public Provident Fund who were expecting an increase in interest rates. The central government has not made any change in the interest rates of Public Provident Fund since the first quarter of the financial year 2020-21. Whereas the government has increased the interest rates of all savings schemes except PPF.

In the last one and a half years, the interest rates of all savings schemes from Sukanya Samriddhi Yojana have been increased. 8.2 percent interest is being given on Sukanya Samriddhi Yojana. 7.1 percent interest is being given on 3-year term deposits. Apart from this, 4 percent interest is being given on savings deposits, 6.9 percent on 1-year term deposits, 7 percent on 2-year time deposits, 7.5 percent interest on 5-year deposits and 6.7 percent interest on 5-year recurring deposits. Apart from this, 8.2 percent interest is being given on Senior Citizen Savings Scheme, 7.7 percent on National Savings Certificate and 7.5 percent on Kisan Vikas Patra.