Small savings scheme: The central government has kept the interest rates on small savings schemes like PPF and NSC unchanged for the April-to-June quarter of the financial year 2025-26.

“The rates of interest on various small savings schemes for the first quarter of FY2025-26 starting from 1st April, 2025 and ending on 30th June, 2025 shall remain unchanged from those notified for the fourth quarter (1st January, 2025 to 31st March, 2025) of FY 2024-25,” the Department of Economic Affairs (DEA) said in a notification issued on Friday, March 28.

Interest Rates

According to an earlier report by Mint, the interest rates for the Public Provident Fund (PPF) and post office savings deposit schemes have remained unchanged at 7.1 per cent and 4 per cent, respectively.

People who are interested in investing in safe assets like PPFs usually do so due to the tax benefits and long-term savings potential of the asset class.

Meanwhile, the deposits under the Sukanya Samriddhi scheme have an interest rate of 8.2 per cent, and the rate on the three-year deposit will be retained at 7.1 per cent for the first quarter of the financial year 2025-26.

The Senior Citizen Savings Scheme (SCSS) has an interest rate of 8.2 per cent. It is designed to provide financial security to senior citizens and offers higher returns than other savings options.

Other key schemes, like the five-year recurring Deposit (RD), offer an interest rate of 6.7 per cent, which is kept unchanged for the upcoming April-to-June quarter of the financial year 2025-26.

The government decides and announces the interest rates on small savings schemes, which are mainly operated by post offices and banks, every quarter in a financial year.

It may be noted that the government kept the interest rates unchanged for the January-to-March quarter of the financial year 2024-25.

Disclaimer: This is an educational article and should not be considered an investment strategy. We advise investors to check with certified experts before making any investment decisions.