Senior Citizens to Earn Extra 3% Interest on FDs

COLOMBO (News 1st); The Ministry of Finance has announced the implementation of a revised special interest rate scheme for senior citizens, effective from today, July 1, 2025.

According to the official statement, individuals aged 60 years and above are eligible to benefit from this initiative, which was introduced under the 2025 Budget proposals and subsequently approved by the Cabinet.

Under the scheme, senior citizens can open fixed deposits of up to Rs 1 million at licensed commercial banks, with a 12-month term. 

These deposits will earn an additional 3% annual interest rate above the prevailing market rate, ensuring greater financial security for elderly citizens.

The scheme will be available from July 1 to December 31, 2025, and is backed by a Rs 15 billion allocation in the 2025 national budget to cover the interest subsidy.

President Anura Kumara Dissanayake earlier emphasized that the initiative aims to enhance the financial stability of senior citizens, offering them a safer and more rewarding savings option.

The Ministry urged eligible individuals to visit their nearest bank branch with their National Identity Card and required documentation to open a fixed deposit under this scheme.