New Delhi: Finance Minister Nirmala Sitharaman announced government decision to withdraw orders on reduction of interest rate on small savings schemes. The FM assured that the rates to the last quarter of the financial year ended March 31 will be restored.
"Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021. Orders issued by oversight shall be withdrawn," Sitharaman said in an early morning tweet.
Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021.
Orders issued by oversight shall be withdrawn. @FinMinIndia @PIB_India
— Nirmala Sitharaman (@nsitharaman) April 1, 2021
The Finance Ministry on Wednesday had reduced interest rate by up to 1.1 per cent across various small savings schemes including National Savings Certificates (NSC) and Public Provident Fund (PPF). The steepest fall of 1.1 per cent was effected in the one-year term deposit. The new rate was brought down to 4.4 per cent as compared to 5.5 per cent. Interest rate on Public Provident Fund (PPF) was reduced by 0.7 per cent to 6.4 per cent while National Savings Certificate (NSC) was to earn 0.9 per cent less at 5.9 percent.
While some people in the social media have appreciated the roll-back in interest rate reduction withdrawal, some Twitterati doesn’t seem to take an affable view.
Interest rates on small savings, PPF and Senior Citizen Schemes to remain unchanged. Rates as on 31.03.21 to continue. Thank you FM @nsitharaman for striking down bureaucratic oversight. https://t.co/dQtT9i5vbo pic.twitter.com/Y5sI4qQQ5X
— Kanchan Gupta (@KanchanGupta) April 1, 2021
good morning Mitron, the news is that government slashes rates on small savings, not a good news. ; but don’t lose hope , the government has done it on 1st of April , hopefully it’s government’s way of saying ‘April Fool’ pic.twitter.com/oXaiQidgwQ
— Arun Gupta (@GuptaarunArun) April 1, 2021
Was it #AprilFoolsDay prank by Modi Gov to cut rates on small savings in the middle of pandemic & crucial state elections? Or was it the usual leap before you think? Decision reversed, calling it inadvertent mistake. Really?
— K. C. Singh (@ambkcsingh) April 1, 2021
Your horrible misadventure on small savings shows how small you guys can think! The buck stops with YOU @nsitharaman. As an ardent BJP supporter, I am deeply ashamed to see such thought process. You only know how to pinch the middle class in every way. V SHAMEFUL! @narendramodi
— नीरज सक्सेना (@neerajsaxena) April 1, 2021
— Fernandez S Dkhar (@FernandezSDkhar) April 1, 2021
Me: I love you
Me: Hehe.... April Fool
Finance Ministry: We are reducing small savings schemes interest rates by a lot
Finance Ministry: Hehe.... April Fool
— The Educated Moron (@EducatedMoron) April 1, 2021
Interest rates for small savings schemes are notified on a quarterly basis. Once restored, PPF and NSC will carry an annual interest rate of 7.1 per cent and 6.8 per cent, respectively.