Key Highlights
- Amrit Vrishti FD re‑launched on 15 April 2025 with a 444‑day tenure.
- Senior citizens receive 7.55% p.a., while super‑senior citizens (80+ years) earn 7.65%.
- General public rate set at 7.05% for the same period.
- No fixed application deadline; investors may subscribe at any time.
- Parallel reduction in rates for other tenures to align with repo‑rate movements.
Detailed Insights
The State Bank of India has reinstated its Amrit Vrishti fixed‑deposit offering, originally launched in July 2024 and concluded on 31 March 2025 after several extensions. The revived version is tailored specifically for senior (60‑79 years) and super‑senior (80 years and above) customers, providing them with marginally lower but still attractive yields compared with the earlier iteration (previous senior rate was 7.75%).
For a deposit held over 444 days, senior citizens earn an annualised interest of 7.55%, whereas super‑senior citizens enjoy 7.65%. The scheme also extends the same tenure to the broader public at 7.05%, a modest cut from the earlier 7.25% rate. In addition, SBI has adjusted rates for other FD tenures: 1 year to <2 years now yields 7.20% (down from 7.30%) and 2 years to <3 years offers 7.40% (down from 7.50%). These revisions mirror prevailing market trends and the central bank’s repo‑rate trajectory.
A distinctive feature of the reintroduced Amrit Vrishti is the absence of a hard cut‑off date for applications, granting prospective investors the flexibility to enrol at their convenience. The overarching objective remains to mobilise deposits from the ageing demographic, reinforcing their long‑term financial stability through a secure, higher‑return instrument.
Key Concepts
- Fixed Deposit (FD): A time‑bound deposit product offered by banks that pays a predetermined interest rate for a specified tenure.
- Repo Rate: The rate at which a country's central bank lends money to commercial banks, influencing overall interest‑rate levels.
- Senior Citizen: An individual aged 60 years or above, often eligible for preferential banking terms.
- Super‑Senior Citizen: A subset of senior citizens aged 80 years or older, typically granted even more favorable rates.
- Tenure: The fixed period for which an FD is held before maturity, after which principal and interest are payable.