Small Savings Scheme

Small Savings Schemes Interest rates reduced for 3rd quarter FY 2016-17. KVP Maturity now in 112 Months against existing 110 Months

Small Savings Schemes Interest rates reduced for 3rd quarter FY 2016-17

F.No. 1/04/2016-NS .II
Government of India
Ministry of Finance
Department of Economic Affairs
(Budget Division)

North -Block , New Delhi
Dated: 29th September, 2016

OFFICE MEMORANDUM

Subject: Revision of interest rates for Small Savings Schemes.

The undersigned is directed to refer to this Department’s OM of even number dated 16th February, 2016, vide which the various decisions taken by the Government regarding interest fixation for small savings schemes were communicated to all concerned .

2. On the basis of the decisions of the Government, interest rates for small savings schemes are to be notified on quarterly Accordingly , the rates of interest on various small savings schemes for the third quarter of financial year 2016-17 , on the basis of the interest compounding/payment built-in in the schemes, shall be as under :

Instrument

Rate   of          interest w.e.f. 01.07.2016 to 30.9.2016

Rate of interest w.e.f. 01.10.2016      to 31.12.2016

Compounding Frequency*

Savings Deposit 4.0 4.0 Annual
1 Year Time Deposit 7.1 7.0 Quarterly
2 Year Time Deposit 7.2 7.1 Quarterly
3 Year Time Deposit 7.4 7.3 Quarterly
5 Year Time Deposit 7.9 7.8 Quarterly
5 Year Recurring Deposit 7.4 7.3 Quarterly
5   Year Senior Citizens Savings Scheme 8.6 8.5 Quarterly and paid
5  year Monthly Income Account Scheme 7.8 7.7 Monthly and paid
5 Year National Savings Certificate 8.1 8.0 Annually
Public Provident Fund Scheme 8.1 8 .0 Annually
Kisan Vikas Patra 7.8 (will mature in  110 months) 7.7 (will mature in  112 months) Annually
Sukanya Samriddhi Account Scheme 8.6 8.5 Annually

* No Change

. 3. This has the approval of Finance Minister

(Vyasan R.)
Deputy Secretary to the Government of India
Tele : 011 23090326

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