NPS, PPF, APY: Top government-backed investment schemes with up to 15% return
From guaranteed pension to tax-free returns, here are 11 secure options backed by the Government of India that every smart investor should explore.
Looking for safe returns in 2025? Government-backed investment schemes remain one of the most reliable ways to grow your savings with minimal risk. From fixed-income options like the Public Provident Fund (PPF) to market-linked schemes such as the National Pension System (NPS), these instruments are ideal for investors seeking security, tax benefits, and long-term growth. Here's a detailed list of the top-performing government savings schemes in India that you can consider this year.
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Atal Pension Yojana (APY): Guaranteed pension for retirement
- Earn 8.00 per cent returns and receive a fixed monthly pension after 60.
- Minimum annual contribution starts at Rs 1,000.
- Ideal for low-income workers.
Post Office Monthly Income Scheme (POMIS): Regular income, low risk
- Get 7.40 per cent interest for 5 years with monthly payouts.
- Minimum investment is Rs 1,000.
- Senior-friendly investment option.
Kisan Vikas Patra (KVP): Doubles money in 115 months
- Offers 7.50 per cent interest. No upper limit on investment.
- Safe option for long-term capital doubling.
National Pension System (NPS): Market-linked returns up to 15%
- Returns range between 9–15 per cent based on equity-debt allocation. Minimum investment is Rs 500/month.
- Ideal for long-term retirement planning.
National Savings Certificate (NSC): Fixed income, tax benefits
- Offers 7.70 per cent returns for 5 years.
- Minimum investment Rs 1,000.
- Eligible for tax deduction under Section 80C.
Public Provident Fund (PPF): Tax-free interest, long-term safety
- Earn 7.10 per cent interest over 15 years.
- Invest between Rs 500 and Rs 1.5 lakh annually.
- Returns and maturity are tax-free.
Employees’ Provident Fund (EPF): Retirement savings for salaried employees
- Interest at 8.25 per cent.
- Contributions are deducted monthly from salary.
- Employer adds matching contribution. Long-term compounding benefit.
Senior Citizens Savings Scheme (SCSS): Best scheme for retirees
- Offers 8.20 per cent fixed return for 5 years.
- Investment cap is Rs 15 lakh.
- Quarterly interest payouts and tax-saving benefits available.
Sukanya Samriddhi Yojana (SSY): Secure your daughter’s future
- Offers 8.20 per cent interest. Invest from Rs 250 to Rs 1.5 lakh/year until the girl turns 21 or gets married.
- Tax benefits under 80C.
Post Office Savings Account: Safe and simple banking option
- Earn 4.00% interest. No lock-in period.
- Minimum deposit of Rs 500.
- Ideal for conservative savers