Small Savings Schemes: Govt Keeps Interest Rates Unchanged For Q1 of 2022-23

The most eagerly anticipated news for investors seeking higher returns than bank fixed deposits has finally arrived, with interest rates on small savings schemes remaining steady for the first quarter of 2022-23. Most popular small savings plans, including National Savings Certificates (NSC), Time Deposits, Public Provident Fund (PPF), Senior Citizens Savings Scheme (SCSS), Sukanya Samriddhi Yojana (SSY), and Kisan Vikas Patra (KVP), will continue to pay the same rate of interest in Q1 2022-23.

The interest rate for Post Office Savings Accounts (SB) will be 4.0 percent annually. The interest rate on the 5-year Post Office Recurring Deposit Account (RD) will stay at 5.8% per annum (quarterly compounded). The interest rate for Post Office Time Deposit Accounts (TD) will stay at 5.5 percent for deposits of one to three years and 6.7 percent for deposits of five years, with interest payable yearly but calculated quarterly. The interest rate on the Post Office Monthly Income Scheme Account (MIS) will remain at 6.6% per year, payable monthly. The PPF interest rate will remain at 7.1 percent per year (compounded yearly).

The interest rate on the Senior Citizen Savings Scheme is 7.4 percent per year, payable quarterly. The interest rate on Sukanya Samriddhi Accounts (SSA) would stay at 7.6% per annum calculated on a yearly basis and compound annually. The interest rate on National Savings Certificates (NSC) would be 6.8% compounded yearly but payable at maturity, while the interest rate on Kisan Vikas Patra (KVP) will be 6.9% compounded annually.