Govt. Withdraws Order on Interest Rate Cuts
On 31st March the govt. had announced interest rates on small saving schemes. However on 1st April Finance Minister announced that the decision of interest rate cut is being rolled back by the governm
Small saving schemes ('SSS') is one of the important investment schemes like Public Provident Fund (PPF), Kisan Vikas Patra (KVP), National Savings Certificate (NSC), etc. by the Government of India schemes. They give a good rate of interest and are safe and secure as well. These are a common man’s safety net.
On 31st March evening, the last evening of the financial year, the government had announced that the interest rates on the small savings schemes including NSC and PPF would be reduced. The interest rate cuts in such schemes would have hurt millions of middle class people. People were worried and tensed as the decrease in interest would have given them less benefits. However, today 1st April 2021, Finance Minister Nirmala Sitharaman announced that the decision of interest rate cuts were issued by oversight and would be withdrawn. She added that the interest rates shall continue to be at the rates that prevailed as of March 2021.
According to sources, the rollback may have been announced as West Bengal and Assam had the second phase of state elections.
