Government of India has decided to cuts interest rates on Public Provident Fund (PPF) and other small savings schemes like Sukanya Samriddhi Account (SSA) and Kisan Vikas Patra (KVP) by 0.1% for the third quarter (October-December) of financial year 2016-17.
small-savings-interest-rateFor the next three month PPF Account will fetch interest of 8% as against 8.1 per cent in the July-September quarter.
The Sukanya Samriddhi Account Scheme, for the girl child, will now fetch an interest rate of 8.5 per cent. The interest rate was at 8.6 per cent in the previous three-month period.
The interest rate on Kisan Vikas Patra has been brought down to 7.7 per cent from 7.8 per cent. As a result, the KVP will now mature in 112 months instead of 110 months.
The rate of interest on Five-Year Senior Citizens Savings Scheme and Five-Year National Savings Certificate has been reduced to 8.5 per cent and 8 per cent, respectively