New Delhi, April 1: The government on Thursday withdrew the interest rates of small savings schemes a day after issuing it, Union Finance Minister Nirmala Sitharaman said. In a tweet, the Finance Minister stated that the interest rates of small savings schemes shall continue to be at the rates which existed in the last quarter of 2020-2021. "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 Orders issued by oversight shall be withdrawn", Sitharaman tweeted. Small Saving Schemes Interest Rate Cut: Govt Slashes Interest Rates on PPF, NSC & Others; Check New Rates Applicable From April 1, 2021.
The interest rates for small savings schemes are notified on a quarterly basis. On Wednesday, the government had announced to cut interest rates on small savings schemes will be cut with effect from April 1, 2021, including NSC and PPF, by up to 1.1 percent for the first quarter of 2021-22 inline with falling fixed deposit rates of banks. Meanwhile, the interest rate on Public Provident Fund (PPF) was reduced by 0.7 percent to 6.4 percent while National Savings Certificate (NSC) will now earn 0.9 percent less at 5.9 percent.
Here's the tweet by Nirmala Sitharaman:
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Orders issued by oversight shall be withdrawn.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
Check Tweets:
Interest rates of small savings schemes of the Government of India 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 Orders issued by oversight shall be withdrawn: FM Nirmala Sitharaman
(file pic) pic.twitter.com/joC9cVcU30
— ANI (@ANI) April 1, 2021
In its order, the government had said that savings deposit was revised from 4% to 3.5%, annually. PPF rate was down from 7.1 percent to 6.4 percent, annually. 1-year time deposit revised from 5.5 percent to 4.4 percent, quarterly. Senior citizen savings schemes rate down from 7.4 percent to 6.5 percent, quarterly and paid. Reports inform that the rates of interest on various small savings schemes for the first quarter of the financial year 2021-22 starting from April 1 and ending on June 30, 2021, were revised, the finance ministry said in a notification.
(The above story first appeared on LatestLY on Apr 01, 2021 08:41 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).