PPF, SCSS, NSC rates unchanged for Oct-Dec 2025 as govt holds small savings rates

The government has kept interest rates on small savings schemes unchanged for the October–December 2025 quarter, despite a 100-basis-point cut in the repo rate by the Reserve Bank of India (RBI) in recent months.

In a notification issued on September 30, the Finance Ministry confirmed that rates for all small savings instruments will remain the same as those applicable in the July–September 2025 quarter. This means popular schemes like Public Provident Fund (PPF), Senior Citizen Savings Scheme (SCSS), and Sukanya Samriddhi Yojana (SSY) will continue at their existing rates.

The government reviews small savings rates every quarter, but this time, it has opted for status quo ahead of the festive season, even as the RBI has eased monetary policy significantly. A rate hike was considered unlikely, but keeping rates steady may help maintain consumer sentiment.

Here are the unchanged rates for Q3 FY26:

PPF: 7.1%

SCSS: 8.2%

SSY: 8.2%

NSC: 7.7%

Kisan Vikas Patra: 7.5%

Post Office MIS: 7.4%

1-Year Fixed Deposit: 6.9%

2-Year FD: 7.0%

3-Year FD: 7.1%

5-Year FD: 7.5%

5-Year Recurring Deposit: 6.7%

The small savings corpus continues to be a vital source of household investment in India, especially among risk-averse savers. With inflation moderating and the RBI’s monetary stance turning accommodative, future rate revisions will likely hinge on fiscal space and market conditions.