A day ahead of Lok Sabha polls announcement, the government today decided to hike interest rates on fixed deposit schemes made available from post offices by around 0. 2 %.
The interest rate on popular PPF (public provident fund) has, however, been retained unchanged at 8. 7 %.
New interest premiums on small savings schemes can come into effect coming from April 1, the official release said.
The Finance Ministry's decision comes on the eve with the announcement of common elections schedule with the Election Commission. The model program code of conduct comes into play after Lok Sabha elections announcement.
The interest rate on fixed deposits for just one and two years has been increased to 8. 4 % from the present 8. 2 %.
Fixed deposits associated with three and 5 years will acquire 0. 1 % higher rate with 8. 4 % and 8. 5 %, respectively.
Also, the eye rate on five-year recurring deposits will be 8. 4 %, up from 8. 3 %.
The annual purchase ceiling in PPF benefits is unchanged with Rs one lakh.
The actual rate on Nationwide Savings Scheme (NSC) along with 5 and 10 calendar year maturities also continue to be unchanged at 8. 5 % and 8. 8 %, respectively.
The rate on five-year Monthly Income Scheme (MIS) remains the same at 8. 4 %. The savings first deposit rates are retained unchanged at 4 %.
The decision to hike rates of interest, which is good recommendations of Shyamala Gopinath Panel, will make tiny savings schemes more pleasing and returns could be in sync along with market rates.
In line with the committee's suggestions, the government also decided to align interest on small benefits schemes with G-Sec premiums of similar maturation, with a distributed of 25 time frame points (bps) along with two exceptions.
According to the recommendations, the eye rate is edited every financial calendar year and notified ahead of April 1.
0 comments:
Post a Comment