Small Saving Schemes Latest News News: Investors investing in savings schemes like NSC, PPF and Sukanya Samriddhi Yojna are going to get big gifts. The government is about to announce to increase interest rates on post office savings schemes including these schemes. So be happy. Because soon you are going to get tremendous returns on investment in these schemes.
Why will interest rates increase?
RBI has increased the repo rate in three consecutive phases. The repo rate has increased by 1.40 percent in three months. After which the loan is getting expensive, so all the banks are increasing the deposit rates along with it. But the surprising thing is that the interest rates on the savings schemes in which most common Indians invest have not been increased so far. The interest rates of savings schemes like NSC, PPF and Sukanya Samridhi Yojna have not been increased. But after the RBI’s decision to increase the repo rate, the possibility of increasing the interest rates on these savings schemes at the end of September has increased.
government bond yields rise
In fact, due to rising inflation, fears of increasing interest rates, there has been a tremendous jump in the yield on government bonds in the last one year. In such a situation, it is believed that the interest rates of schemes like PPF, NSC and Sukanya Samriddhi Yojana which are linked with these bonds are set to increase. The Gopinath Committee had recommended in 2011 that interest rates on such small savings schemes should be 25 to 100 basis points higher than the yield of government bonds.
How much will interest rates increase
It is expected that the Finance Ministry may announce to increase the interest rates from 0.50 to 0.75 percent on all the schemes of small savings schemes. The government’s 10-year bond yield has risen from 6.04 per cent to above 7.25 per cent in 12 months. According to this formula, the interest on PPF is expected to be increased from 7.1 percent to 7.81 percent. The interest rate on Sukanya Samriddhi Yojana can be increased from 7.6 percent to 8.10 percent. At present, 7.40 percent interest is available on Senior Citizen Saving Scheme, which can be increased to 8.31 percent. Let us tell you that the Finance Ministry reviews and announces the interest rates of government savings schemes before the start of every quarter.
how much interest
At present, Public Provident Fund (PPF) gets 7.1 percent annual interest rate, NSC i.e. National Saving Certificate is getting 6.8 percent annual interest. Sukanya Samridhi Yojna is getting 7.6 percent interest and Senior Citizen Tax Saving Scheme is getting 7.4 percent interest. Kisan Vikas Patra is getting 6.9 percent interest. One year fixed deposit An interest rate of 5.5 percent is being given on the scheme, 5.5-6.7 percent interest rate on one to five year fixed deposit and 5.8 percent interest is being given on five year deposit scheme. There has been no change in the interest rates of these savings schemes. could.
read this also