Govt Notifies 7.6% Interest applicable to Special Deposit Scheme [Read Notification]

The Central Government today notified that interest rate of 7.6 per cent would be applicable to Special Deposit Scheme for Non-Government Provident, Superannuation and Gratuity Funds.

The rate is applicable with effect from 1st January, 2018 to 31st March, 2018.

The Finance Ministry had introduced the scheme in the year 1975 with an aim to provide better returns to non-government provident funds, superannuation and gratuity funds, surplus funds of the Life Insurance Corporation (LIC) and Employees’ State Insurance Corporation, etc.

The organisations which invested in SDS were Employees’ Provident Fund Organisation (EPFO), General Provident Fund (Central Services), Contributory Provident Fund (India), All India Services Provident Fund, State Railway Provident Fund and General Provident Fund (Defence Services).

On maturity, the amount under the scheme is payable in five equated yearly installments from the date of maturity. The scheme is operated through various public sector banks (PSU banks) and the Reserve Bank of India (RBI) offices.

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