Finance ministry may consider rate cut for small savings schemes in FY26

The central bank on Friday reduced the repo rate by 25 basis points to 6.25 per cent from 6.5 per cent following its first monetary policy review of the year

In a bid to boost consumption following the repo rate cut by the Reserve Bank of India, the Union Ministry of Finance may consider bringing down the rates for small savings schemes in the next financial year, government sources indicated.

 

In its first monetary policy review this year, the central bank on Friday reduced the repo rate by 25 basis points to 6.25 per cent from 6.5 per cent.

 

Small savings schemes include Public Provident Fund, Sukanya Samriddhi Yojana, Monthly Income Account Scheme, Kisan Vikas Patra, National Savings Certificate, Senior Citizen Savings Scheme, five-year recurring deposits, among others. The interest