Small Savings Scheme Interest Rates

Interest rate remains unchanged in Small Savings Scheme like Public Provident Fund (PPF), Senior Citizen Saving Scheme, Sukanya Samriddhi Yojana (SSY), Kisan Vikas Patra (KVP) for October-December 2019 Quarter for FY 2019-2020.

What is Small Saving Scheme?

In our country, after the independence in 1947, it was felt that urgent attention has to be given to the saving among our countrymen, as a result, the National Saving Organization (NSO) now National Saving Institute (NSI) was created in 1948 for promoting Small Saving.

Saving has been a priority concern for the government of India. Under the Government Saving Certificate Act,1959 and the Public Provident Fund Act,1958, the Ministry of Finance has framed many small saving plans under this act.

The term “small saving “suggest that the saving comes from every corner of our country and bring small depositor into the saving movement

Objectives of the Small Saving Scheme?

The small saving scheme plays an important role in the growth story of our country.

  • It helps in utilizing the resource for financing the developmental projects of our country.
  • It helps to maintain the balance of payment for our country
  • It creates awareness about the importance of saving among the citizen

Small Savings Scheme Interest Rates

The Government of India, vide their office memorandum dated 30/09/2019 has informed about the interest rate in small saving scheme for the Third Quarter for the Financial Year 2019-20 starting from 1st October 2019 to 31st December 2019 are as under:-

InstrumentsRate of Interest W.E.F 01/10/2019 to 31/12/2019Compounding Frequency
5 Year Senior Citizen Saving Scheme8.60Quarterly and paid
Public Provident Fund Scheme7.90Annually
Sukanya Samriddhi Scheme8.40Annually
Kisan Vikas Patra7.60 (Will mature in 113 months )Annually


Financial inclusion with financial literacy helps our citizens to make wise decisions on which products they should invest their hard-earned money to meets their long term goals. To promote saving habits, GOI has framed these small saving schemes which is very popular in our country and one should invest in these schemes according to there need.

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