Budget 2023: Big boost on cards for Sukanya Samriddhi Yojana, other small saving schemes

Budget can give a hard push to schemes like Sukanya Samriddhi Yojana.

Small savings scheme like Sukanya Samriddhi Yojana can get a boost in the upcoming Union Budget for 2023-24, said SBI Research in a report.

The report said that the government will continue to rely on these small saving schemes for financing the fiscal deficit which is likely to be pegged at 6% for FY24.

The government can give a hard push to schemes like SSY (Sukanya Samriddhi Yojana) through encouraging fresh registrations in a mission drive mode.

"It can give a hard push to SSY (Sukanya Samriddhi Yojana), through encouraging fresh registrations in a mission drive mode, allowing one time registrations for all leftover cases up to 12 years," the report said talking about Union Budget expectations.

It further added that the business correspondents can be roped in by the banks since their share is lower than post offices.

Also read: Special health cover, wider Sukanya Samriddhi scheme, tax sops for seniors seen

"Roping in Business Correspondent (BC) channel partners by banks can be extremely useful since banks have a low share vis-à-vis Post offices (~16% in number of SSY accounts though ~30% share in deposits)."

The government had recently hiked interest rates on small savings schemes but SSY was not included.

Customers are allowed to set up a Sukanya Samriddhi account at a minimum investment of Rs 250 and a maximum of Rs 1,50,000 a financial year.

Taxpayers can claim deductions for investing in Sukanya Samriddhi Yojana under section 80C of the Income Tax Act.