Small Savings Schemes: PPF, Post Office Savings Rates Remain Static for July-September 2025

New Delhi, July 1, 2025: The Finance Ministry has announced that interest rates on various small savings schemes will remain unchanged for the 2nd quarter of the financial year 2025-26 (July 1 to September 30, 2025). This marks the 6th consecutive quarter without revisions, ensuring stability for millions of investors relying on schemes like the Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), and National Savings Certificate (NSC). The decision, detailed in a notification issued on June 30, 2025, reflects the government’s cautious approach amid fluctuating bond yields and economic conditions.

Key Schemes and Their Rates

The Public Provident Fund (PPF) continues to offer a steady 7.1% annual interest rate, while the Sukanya Samriddhi Yojana, designed to promote savings for girl children, retains its attractive 8.2% rate, one of the highest among small savings instruments. The National Savings Certificate (NSC) holds steady at 7.7%, and the Kisan Vikas Patra (KVP) remains at 7.5%, with a maturity period of 115 months. Post office savings accounts will continue to yield 4%, and the Monthly Income Scheme stays at 7.4%. These schemes, primarily operated through India Post and public sector banks, remain a secure investment avenue for middle-class and rural households.

Economic Context and Investor Sentiment

So, everyone expected rate cuts this year, what with bond yields dipping and the RBI dropping hints about easing up on the repo rate in 2025. Instead, the government’s basically hit the pause button: no changes. The 10-year government bond yield slid down to 6.269% by late June (it was sitting at 6.779% earlier, FYI), which got analysts buzzing about possible tweaks. But the Finance Ministry’s sticking with their playbook—steady rates to balance decent returns and fiscal discipline.

For investors banking on small savings schemes, this is actually pretty comforting—no curveballs, just steady ground for long-term planning. Of course, financial advisors are still out here waving their “consider debt mutual funds” banners for those looking to mix things up. The big takeaway? Rates are steady, savers can breathe easy for now, but the next review’s in September 2025.

Keywords: small savings schemes, PPF interest rate, Sukanya Samriddhi Yojana, National Savings Certificate, post office savings, interest rates 2025, Finance Ministry, Q2 FY26, investment options, personal finance