The finance ministry has left interest rates on small savings schemes unchanged for April-June 2022.
The interest rates on the various instruments range from 4.0 percent to 7.6 percent.
|SMALL SAVINGS INSTRUMENT||INTEREST RATE FOR APR-JUN 2022|
|One-year time deposit||5.5%|
|Two-year time deposit||5.5%|
|Three-year time deposit||5.5%|
|Five-year time deposit||6.7%|
|Five-year recurring deposit||5.8%|
|Senior Citizen Savings Scheme||7.4%|
|Monthly Income Account||6.6%|
|National Savings Certificate||6.8%|
|Public Provident Fund Scheme||7.1%|
|Kisan Vikas Patra||6.9%|
|Sukanya Samriddhi Account Scheme||7.6%|
These interest rates, while set by the government, are linked to market yields on government securities at a spread of 0-100 basis points over the yield of these securities of comparable maturities.
In December 2021-February 2022, which is the reference period for small savings interest rates for April-June 2022, the yield on five-year government bonds rose sharply, with that on the 5.74%, 2026 bond jumping 36 basis points over the period to 6.05 percent from 5.69 percent.
The 10-year bond yield rose by an even greater amount of 44 basis points over the same period.