PPF, SCSS, Sukanya Samriddhi: The central government has recently announced that from April 2025 through June 2025, the interest rates on savings programs offered by post offices will remain unchanged. A circular released on March 28, 2025, by the Department of Economic Affairs under the Ministry of Finance affirmed this decision.
A number of savings vehicles are impacted by this decision. These include the Public Provident Fund (PPF), the Senior Citizen Savings Scheme, the Sukanya Samriddhi Account, the National Savings Certificate (NSC), and many more.
The rates of interest on the various Small Savings Schemes for the first quarter of FY 2025-26, which will commence on April 1, 2025, and conclude on June 30, 2025, will remain unchanged from those that were notified for the fourth quarter of FY 2024-25 (1st January 2025 to 31st March 2025), as described in the circular.
Both the National Savings Certificate and the Public Provident Fund Scheme will maintain their current interest rates of 7.1% and 7.7%, respectively. The interest rates for other plans, such as the Sukanya Samriddhi Account and the
Senior Citizen Savings Scheme would remain at 8.2% apiece. You may get rates as low as 6.9% for a one-year deposit and as high as 7.5% for a five-year deposit.
Savings Schemes Interest Rates for April – March 2025
| Savings Scheme | Interest Rate |
| Post Office Savings Account | 4% |
| Post Office Recurring Deposit | 6.7% |
| Post Office Monthly Income Scheme | 7.4% |
| Post Office Time Deposit (1 year) | 6.9% |
| Post Office Time Deposit (2 years) | 7% |
| Post Office Time Deposit (3 years) | 7.1% |
| Post Office Time Deposit (5 years) | 7.5% |
| Kisan Vikas Patra (KVP) | 7.5% |
| Public Provident Fund (PPF) | 7.1% |
| Sukanya Samriddhi Yojana | 8.2% |
| National Savings Certificate | 7.7% |
| Senior Citizens’ Saving Scheme (SCSS) | 8.2% |
For savers looking for a reliable source of income despite the unpredictable state of the economy, these rates remain competitive.
On a quarterly basis, the government reviews the suggestions made by the Shyamala Gopinath Committee to determine the interest rates for these modest savings plans.
According to the committee, these rates should be established at a rate that is 25 to 100 basis points higher than the yields of government bonds with comparable maturities.
This approach guarantees that even during economic downturns, modest savings programs outperform alternative investment options.
It was in the last quarter of the fiscal year 2023–24 that the interest rates for the Sukanya Samriddhi Yojana and three-year time deposits were raised by the government. In the time thereafter,
These rates have not been modified in any way. The government’s choice to maintain stable interest rates shows that they are committed to provide stable returns regardless of market circumstances, which should attract more investors to these programs.
The regular people of India still have access to solid investment options via these modest savings plans, which contribute significantly to the country’s economy.
These plans continue to be a solid choice for investors, particularly those who are looking for security for their long-term savings or who are seniors, since the government has committed to these rates for the next quarter.