Rate cuts and your investments

The interest rates in small-savings schemes have been reduced significantly for the April-June 2020 quarter, with the cut ranging from 70 basis points to 140 basis points across different schemes (100 basis points make one percentage point). This move was expected as the RBI had reduced the repo rate by 75 basis points in the last week of March 2020. The Public Provident Fund (PPF), which is one of the most popular and sought-after small-savings schemes, is now offering 7.1 per cent as against 7.9 per cent during January-March 2020. This is the lo