U-turn of the government on the announcement of reducing the interest rate on small savings schemes, the old rates will be applicable only
On small savings schemes Declaration of interest rate reduction But the central government has taken a U-turn in a single day. The scheme announced on Wednesday has been withdrawn on Thursday. Finance Minister Nirmala Sitharaman gave this information on Twitter on Thursday. He has said that with the withdrawal of this announcement, the old rates will remain in force.
Let us know that on Wednesday, the announcement was made about interest rates for the June quarter on many small savings schemes and small deposits. Under this announcement, the annual interest rate on small deposits was also reduced from 4 percent to 3.5 percent. The PPF interest rate was also reduced from 7.1 per cent to 6.4 per cent per annum. The interest rate on deposits of one year period was reduced from 5.5% to 4.4%, while the rate of interest was reduced from 7.4% to 6.5% under the Senior Citizen Saving Scheme.
However, by tweeting from the Finance Minister’s Twitter handle this morning, it was told that the interest rates on small savings schemes will continue to be applicable as per the last quarter and the decision to reduce the rates has been withdrawn.
Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021.
Orders issued by oversight shall be withdrawn. @FinMinIndia@PIB_India
– Nirmala Sitharaman (@nsitharaman) April 1, 2021
Explain that the Finance Ministry releases the interest rates for small savings schemes on a quarterly basis. Earlier, the government had not made any change in the interest rates on small savings schemes including PPF and NSC for the January-March 2021 quarter.