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Introduction: The Ministry of Finance, under the Department of Economic Affairs, issued a significant notification on February 12, 2024, introducing amendments to the National Savings Time Deposit Scheme, 2019. This amendment, known as the National Savings Time Deposit (Amendment) Scheme, 2024, revises the interest rates applicable to deposits made under this scheme. The changes reflect the government’s ongoing adjustments to its savings promotion initiatives, aiming to make these schemes more attractive to savers in response to evolving economic conditions.

Detailed Analysis: The amendment brings forth a structured adjustment in the interest rates for deposits made on or after January 1, 2024. Specifically, the notification outlines the following key changes:

  • Historical Context: Prior to this amendment, the interest rates for deposits made from July 1, 2023, to December 31, 2023, were set at specific rates. The latest amendment specifies that these rates were applicable only within that defined period, thereby setting the stage for the newly revised rates.
  • New Interest Rates: The amendment introduces a new table of interest rates for deposits made starting January 1, 2024. The rates are as follows:
    • One-year deposit at 6.9% per annum.
    • Two-year deposit at 7.0% per annum.
    • Three-year deposit at 7.1% per annum.
    • Five-year deposit at 7.5% per annum.

These rates indicate a strategic adjustment aimed at promoting savings among the public by offering competitive returns on time deposits.

  • Implementation and Retrospective Effect: The scheme has been deemed to be in effect from January 1, 2024. The retrospective application of this amendment assures that depositors who invested in the scheme from the start of 2024 will benefit from the revised rates. The Explanatory Memorandum attached to the notification emphasizes that the retrospective effect of this amendment is not intended to adversely affect any depositors.

Conclusion: The National Savings Time Deposit (Amendment) Scheme, 2024, represents a forward-looking approach by the Ministry of Finance to adapt the National Savings Time Deposit Scheme to current economic realities. By adjusting the interest rates upwards for deposits made in 2024, the government aims to incentivize savings, thereby fostering a culture of financial security and savings among the citizens. These changes are expected to have a positive impact on the attractiveness of the National Savings Time Deposit Scheme, making it a more appealing option for individuals seeking reliable and beneficial savings instruments. As the scheme evolves, potential and existing depositors are encouraged to stay informed about such amendments to maximize their savings potential.


(Department of Economic Affairs)
New Delhi, the 12th February, 2024

G.S.R. 108(E).—In exercise of the powers conferred by section 3A of the Government Savings Promotion Act, 1873 (5 of 1873), the Central Government hereby makes the following Scheme further to amend the National Savings Time Deposit Scheme, 2019, namely:-

1. Short title and commencement.-(1) This Scheme may be called the National Savings Time Deposit (Amendment) Scheme, 2024.

(2) It shall be deemed to have come into force on the 1st day of January, 2024.

2. In the National Savings Time Deposit Scheme, 2019 (hereinafter referred to as the said Scheme), in paragraph 7,-

(a) in sub-paragraph 1(E), for the words, figures and letters, “on or after 1st day of July, 2023”, the words, figures, letters and brackets “between the 1st day of July, 2023 and 31st day of December, 2023 (both days inclusive)” shall be substituted;

(b) after sub-paragraph 1(E), the following sub-paragraph and Table shall be inserted, namely:-

“1(F) The rate of interest as specified in the Table below shall be applicable to the deposit made on or after the 1st day of January, 2024 under the Scheme.


Sl. No. Category of account Rate of interest (per cent. per annum)
(1) (2) (3)
1. One-year 6.9
2. Two-years 7.0
3. Three-years 7.1
4. Five-years 7.5”.

[F. No. 1/04/2016-NS]

Explanatory Memorandum.- By giving retrospective effect to the National Savings Time Deposit (Amendment) Scheme, 2024, no one shall be adversely affected as a result of retrospective effect being given to this amendment.

Note : The principal Scheme was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 922(E), dated the 12th December, 2019 and subsequently amended vide number G.S.R. 289(E), dated the 5th May, 2020, G.S.R. 838(E), dated the 22nd November, 2022, G.S.R. 53(E), dated the 20th January, 2023, G.S.R. 327(E), dated the 27th April, 2023, G.S.R. 620(E), dated the 23rd August, 2023 and G.S.R. 830(E), dated the 7th November, 2023.

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