On Small Post Office Schemes 0.25%interest Rate Has Been Cut by Union Government [ Current Affairs ]
On short-term small saving schemes below five years of maturity 0.25 per cent interest rates including post office deposits and Kisan Vikas Patras has been cut by the Union Government. To align interest rates on small savings with market rates and help the economy move to a lower overall interest rate regime eventually this decision is taken regard of it.
Compared to the government securities of similar tenures Post office savings with term of 1, 2 and 3 year, Kisan Vikas Patra as well as 5-year Recurring Deposits earned higher interest till now.
And Government has also left social security schemes such as:
- Senior Citizen Savings Scheme,
- Sukanya Samriddhi Yojana,
- long term Monthly Income Scheme and
- PPF untouched.
- Employees Provident Fund (EPF) Rate
The interest rate of Employees Provident Fund (EPF) has been increased this year by 0.05 % over last year and has been fixed at 8.8 % by the Union Government.
At the meeting of the Central Board of Trustees of the Employees Provident Fund Organization (CBTEPFO) this marginal increase decision is taken and the meeting was headed by the Minister of State (MoS) for Labour and Employment Bandaru Dattatreya.
- Published on: February 19, 2016