Press Information Bureau
Government of India
Ministry of Finance

26-March-2012 18:50 IST

Revision of Interest Rates for Small Savings Schemes with Effect from 1st April 2012

 

Based on the decisions taken by the Government on the recommendations of the Shyamala Gopinath Committee for Comprehensive Review of National Small Savings Fund (NSSF), the interest rates for small saving schemes are to be notified every financial year, before 1^st April of that year.  Accordingly, the rate of interest on various small savings schemes for the financial year 2012-13 effective from 1.4.2012, on the basis of the interest compounding/payment built-in in the schemes, shall be as under:

Scheme	Rate of Interest w.e.f. 1.12.2011	Rate of Interest w.e.f. 1.4.2012
Savings Deposit	4.0	4.0
1 year Time Deposit	7.7	8.2
2 year Time Deposit	7.8	8.3
3 year Time Deposit	8.0	8.4
5 year Time Deposit	8.3	8.5
5 year Recurring Deposit	8.0	8.4
5 year SCSS	9.0	9.3
5 year MIS	8.2	8.5
5 year NSC	8.4	8.6
10 year NSC	8.7	8.9
PPF	8.6	8.8

Necessary notifications, including those requiring amendments to rules of small savings schemes will be notified separately.

DSM/SS/Hb

Revision of interest rates for small savings schemes under notification requirement; revised scheme returns to take effect next year. The Government will notify interest rates for small savings schemes annually before each financial year and has fixed revised scheme-specific rates to take effect from 1 April 2012 for savings deposits, term deposits of various tenors, recurring deposits, senior citizen schemes, monthly income scheme, national savings certificates and public provident fund; notifications and any rule amendments necessary to implement the revisions will be issued separately.