MUMBAI: Finance Minister Nirmala Sitharaman has announced a new savings scheme for women that will offer a fixed rate of 7.5 per cent. Available for a 2-year period up to March 2025, the Mahila Samman Savings certificate will have an option for partial withdrawal.
“For commemorating Azadi Ka Amrit Mahotsav, a 1-time new small saving scheme Mahila Samman Savings certificate will be available for a 2-year period up to March 2025,” said the Finance Minister in her budget speech. “This will offer a deposit facility up to Rs 2 lakh in the name of women or girls for a tenor of 2 years at a fixed interest rate of 7.5 per cent with a partial withdrawal option,” she added.
In good news for senior citizens, the Finance Minister has doubled the maximum investment limit for senior citizen saving scheme accounts from Rs 15 lakh to Rs 30 lakh. “The senior citizens saving scheme will be extended for a deposit account of Rs 30 lakh from Rs 15 lakh,” she said.
Similarly, the maximum investment limit in Post office Monthly Income Scheme (MIS) accounts is also increased to Rs 9 lakh for a single account and Rs 15 lakh for joint accounts. “The maximum deposit limit for Monthly Income Account Scheme will be enhanced from Rs 4.5 lakh to Rs 9 lakh for a single account and from Rs 9 lakh to Rs 15 lakh for a joint account,” she said.
Last month, the government announced a hike in small savings interest rates by up to 1.1 percentage points for the January-March quarter.
“The maximum investment limit in Post office Monthly Income Scheme (MIS) accounts is also increased to Rs 9 lakh for a single account and Rs 15 lakh for joint accounts. Currently, the rate of interest offered is 7.1% per annum, payable monthly. Highly conservative investors will have more opportunities to invest money in this scheme for the debt exposure in their portfolio,” said Manish P Hingar, Founder at Fintoo- a wealth advisory platform.