New Delhi: The Indian government has announced the end of the Mahila Samman Savings Certificate (MSSC) scheme, which was introduced within the ambit of financial inclusion in the context of women’s empowerment. No new deposits or investments under this initiative will be accepted past March 31, 2025. The Department of Economic Affairs (DEA) under the Finance Ministry said in a letter dated March 27, 2025, that the decision had been made.
On March 28, 2025, the Post Office Department issued an SB Order, following up and clarifying that the scheme’s guidelines, notifications and the scheme itself shall remain effective only until March 31, 2025. All new accounts and contributions are on hold after this date. In its letter, referred to as No. 141112019-NS-Part (1), the Finance Ministry reiterated that the scheme would not be extended any further once the deadline was over.
Introduced to inspire savings among women and girls, the MSSC enabled investments between ₹1,000 and ₹2 lakh per person. Current account holders will continue to receive an interest rate of 7.5% on their investments, but no new participants can be added.
Women seeking government-backed investment options now have to look elsewhere due to the closure of the MSSC. These schemes include the Public Provident Fund (PPF), which provides a tax-free 7.1% interest for a 15-year period. Another option is Sukanya Samriddhi Yojana (SSY), aimed specifically at girls, which not only offers an 8.2% interest rate but also allows for tax benefits. Both of these schemes are active and still have openings for investment.
The closure of a significant initiative that focusses on financial security for women leads investors to look for other government-supported areas.
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