Finance Ministry lowers Interest on Senior Citizens Welfare Fund

The Ministry of Finance has announced a reduction in the interest rate for the Senior Citizens' Welfare Fund (SCWF) for the fiscal year. The new rate has been lowered, which will impact the returns generated by the fund. The SCWF is a pool of unclaimed money from various small savings schemes, such as the Public Provident Fund and Senior Citizen Savings Scheme, which is then utilized for funding welfare programs dedicated to the elderly. The annual interest rate determines the growth of this fund's corpus. A lower interest rate means that the fund will grow at a slower pace, which could potentially affect the quantum of funds available for supporting schemes related to the health and financial well-being of senior citizens across the country. The move is likely linked to the overall lower interest rate environment in the economy.