India Keeps Small Savings Rates Unchanged

The Indian government has announced that interest rates on various small savings schemes, including the Public Provident Fund (PPF) and National Savings Certificate (NSC), will remain unchanged for the third consecutive quarter, effective from October 1 to December 31, 2024. The Sukanya Samriddhi scheme will continue to offer an interest rate of 8.2%, while the PPF and three-year term deposits will yield 7.1% and 7.1%, respectively. Other rates include 7.5% for Kisan Vikas Patra, 7.7% for NSC, and 7.4% for the Monthly Income Scheme. The decision to keep rates steady reflects a broader trend, as rates have not been modified since the quarter ending December 2023. This stability aims to provide predictability for investors relying on these savings instruments, which are primarily managed by post offices and banks. The interest rates are determined quarterly based on government securities' yields.