Ppf kvp nsc interest rates has been reduced by government

Thank you Jitendra ji for the update. Kindly, enlighten us, as to what will this impact be on Investors / common man and Financial Institutions / Bank / Government Treasury etc? 

Small Savings are part of government borrowings. Now with reduce rate, governement will be benefited by paying lesser interest exepenses....

And common man who ordinarily put his hard money in small saving schemes will suffered.

This may be economically correct but politically hurt the ruling party is what experts / pundits opine.