Govt cuts interest rate on small savings schemes by 0.1pc.
Position | Brief article |
The government Friday reduced interest rate on small savings schemes, including NSC and PPF, by 0.1 percent for the July-September quarter. The move is aimed at matching the softening of interest rates in the banking sector since the RBI cut its benchmark policy rate thrice during the year. Barring interest on savings deposits, which has been retained at 4 percent annually, rate on all other schemes has been slashed by 0.1 percent. Public Provident Fund (PPF) and National Savings Certificate (NSC) will fetch annual interest rate of 7.9 percent from the existing rate of 8 percent, while Kisan Vikas Patra (KVP) will yield 7.6 percent with maturity of 113 months. At present, interest rate on...
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