The Ministry of Finance, Department of Economic Affairs, has notified an interest rate of 6.85% per annum on deposits held under the Senior Citizens Welfare Fund (SCWF) for the financial year 2025-26.
According to Notification No. F. No. 13/20/2014-NS dated 5 June 2026, deposits made under the Senior Citizens Welfare Fund will earn interest at the rate of 6.85% for the period from 1 April 2025 to 31 March 2026.
Background of the Senior Citizens Welfare Fund
The Senior Citizens Welfare Fund was established pursuant to the Ministry of Finance Notification No. G.S.R. 322(E) dated 18 March 2016. The Fund receives amounts that remain unclaimed for specified periods in various financial instruments and schemes. These funds are subsequently utilized for programmes and initiatives aimed at promoting the welfare of senior citizens across the country.
Interest Rate for FY 2025-26
The latest notification specifies that:
- Interest on deposits under the Senior Citizens Welfare Fund shall be 6.85% per annum.
- The rate is applicable for the period 1 April 2025 to 31 March 2026.
- The notified rate is effective from 1 April 2025.
Importance of the Notification
The annual notification of the interest rate is important for accounting, fund management, and financial reporting purposes relating to the Senior Citizens Welfare Fund. The prescribed rate determines the return earned on deposits transferred to the Fund and helps ensure transparency in its financial administration.
Official Notification Extract
The Ministry of Finance stated:
"The deposits made under the Senior Citizens Welfare Fund shall with effect from 1st April, 2025 to 31st March, 2026, bear interest at 6.85% (Six point eight five percent)."
Conclusion
The Government has fixed the interest rate on deposits under the Senior Citizens Welfare Fund at 6.85% per annum for FY 2025-26. The notification provides clarity regarding the earnings on funds maintained under the SCWF and forms part of the regulatory framework governing the management of resources dedicated to senior citizens' welfare initiatives.
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