MoF Kept Interest Rate on Small Savings Schemes Unchanged for Q3FY25

Current Context: The Ministry of Finance (MoF) has decided to keep the interest rates on various small savings schemes unchanged for the third quarter of the financial year 2024-25 (Q3FY25), which spans from October 1, 2024, to December 31, 2024.

• Here are some key points about the unchanged interest rates:
• Public Provident Fund (PPF): The interest rate remains at 7.1% per annum.
• Sukanya Samriddhi Yojana (SSY): This scheme continues to offer an interest rate of 8.2% per annum.
• Senior Citizen Savings Scheme (SCSS): The interest rate is maintained at 8.2% per annum.
• National Savings Certificate (NSC): The interest rate remains at 7.7% per annum.
• Kisan Vikas Patra (KVP): The interest rate is 7.5% per annum, with investments maturing in 115 months.
• Post Office Savings Deposits: The interest rate remains at 4% per annum.
• Monthly Income Scheme (MIS): The interest rate is 7.4% per annum.
• These small savings schemes are popular among investors for their safety and guaranteed returns, as they are backed by the central government.

Question:

1 What is the interest rate for the Public Provident Fund (PPF) for Q3FY25 (October 1, 2024, to December 31, 2024)?

• A) 7.5% per annum
• B) 7.1% per annum
• C) 8.0% per annum
• D) 8.2% per annum

Answer: B) The Ministry of Finance has kept the interest rate for the Public Provident Fund (PPF) unchanged at 7.1% per annum for Q3FY25.