On Thursday, the government raised interest rates on some small savings plans by up to 30 basis points (bps) in line with the hardening interest rate in the economy.
With the revision, a three-year term deposit at post offices would yield 5.8 percent of the existing 5.5 percent, an increase of 30 basis points for the third quarter of the current fiscal year.
Senior savings plans earn 20 basis points more to 7.6 percent of the existing rate of 7.4 percent in the October-December period, according to a statement from the Treasury Department.
With regard to Kisan Credit Card, the government has revised both the term and the interest rates.
The Reserve Bank has raised its benchmark lending rate by 140 basis points since May, prompting banks to raise deposit rates as well.
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