Government of India
Ministry of Finance
Department of Economic Affairs
North Block, New Delhi Dated- September 29, 2016
OFFICE MEMORANDUMOnline GST Certification Course by TaxGuru & MSME- Click here to Join
Subject: Revision of interest rates for Small Savings Schemes.
The undersigned is directed to refer to this Department’s OM of even number dated 16th February. 2016, vide which the various decisions taken by the Government regarding interest fixation for small savings schemes were communicated to all concerned.
2. On the basis of the decision of the Government, interest rates for small savings schemes are to be notified on quarterly basis. Accordingly. the rates of interest on various small savings schemes for the third quarter of financial year 2016-17 starting on 1st October, 2016 and ending on 31st December, 2016, on the basis of the interest compounding/payment built-in in the schemes, shall be as under:
|Instrument||Rate of interest w.e.f. 01.07.2016
|Rate of interest w.e.f. 01.10.2016
|1 Year Time Deposit||7.1||7.0||Quarterly|
|2 Year Time Deposit||7.2||7.1||Quarterly|
|3 Year Time Deposit||7.4||7.3||Quarterly|
|5 Year Time Deposit||7.9||7.8||Quarterly|
|5 Year Recurring Deposit||7.4||7.3||Quarterly|
|5 Year Senior Citizens Savings Scheme||8.6||8.5||Quarterly and
|5 year Monthly Income Account Scheme||7.8||7.7||Monthly and
|5 Year National Savings
|Public Provident Fund Scheme||8.1||8.0||Annually|
|Kisan Vikas Patra||7.8 (will mature in 110 months)||7.7 (will mature in 112 months)||Annually|
|Sukanya Samriddhi Account Scheme||8.6||8.5||Annually|
* No change
3. This has the approval of Finance Minister.
Deputy Secretary to the Government of India