The government has increased the interest rates on small savings schemes by 0.10 to 0.30 per cent. Interest rates on 2-year deposits have been increased by 0.10 percent. While 5 years deposit will now get 0.30% more interest.
The Central Government has given a big gift to the investors of Small Saving Schemes on Friday. The government has increased the interest rates of small savings schemes by up to 30 basis points (BPS) for the July-September 2023 quarter.
Actually, the government has increased the interest rates on small savings schemes by 0.10 to 0.30 percent. Interest rates on 2-year deposits have been increased by 0.10 percent. While 5 years deposit will now get 0.30% more interest. The Finance Ministry has issued a notification informing about this change.
Change in time deposit interest rates
Now 6.9 per cent as against 6.8 per cent on time deposit for one year, 7.0 per cent against 6.9 per cent on time deposit for two years, while interest on Recurring Deposit for 5 years will now increase from 6.2 per cent to 6.5 per cent.
However, there has been no change in the interest rates of PPF, Kisan Vikas Patra, Sukanya Samriddhi Yojana, Senior Citizen Schemes. The government reviews the interest rates of small savings schemes every three months.
No change in interest rates of SSY, PPF and KVP
On the other hand, 7.5 percent (115 months) interest is being received on Kisan Vikas Patra (115 months), PPF at 7.1 percent, Sukanya Samriddhi Yojana at 8 percent, National Savings Certificate at 7.7 percent and Senior Citizen Savings Scheme at 8.2 percent. No changes have been made in these.
Let us tell you, since April 2020, the rates of PPF have remained stable at the level of 7.1 per cent. Whereas in the last one and a half years, the Reserve Bank has increased the repo rate by up to 2.5 percent. Because of which an increase in FD rates is also being seen. In view of this, there were expectations that this time the government could increase the rates of PPF. But people have to be disappointed again.
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