West Bengal has been the highest contributor to the National Small Saving Fund for over a decade now, data from the National Savings Institute revealed. The development comes on the day that Finance Minister Nirmala Sitharaman announced a rollback of a reduction in rates on small savings schemes. The reduction -- if it had been followed through -- would have brought the savings rate of several schemes to historic lows.

The data, available for up until 2018, revealed that West Bengal has raced past heavyweights like Uttar Pradesh and Maharashtra to be the largest contributor to the overall national small savings. In fact, it was found that West Bengal has seen a steady increase in NSSF contributions over the years. While the state accounted for 12.4 per cent of gross NSSF contributions in 2007-08, it rose to over 14 percent in 2009-10 and has stayed on the upward trajectory since. In 2017-18, West Bengal accounted for 15.1 percent of the total gross NSSF contributions.

Of the total gross small savings collections of Rs 5.96 lakh crore in 2017-18, data revealed that West Bengal’s collections were recorded at nearly Rs 90,000 crore. The state was followed by collections from Uttar Pradesh, Maharashtra and Gujarat at Rs 70,000 crore, Rs 63,000 crore and Rs 48,000 crore respectively.

The Opposition has alleged that the rollback of the rate reduction is linked with the elections that are currently taking place in West Bengal.

Announcing the rollback, Finance Minister Nirmala Sitharaman had tweeted, “Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021. Orders issued by oversight shall be withdrawn.”

Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021.Orders issued by oversight shall be withdrawn. @FinMinIndia @PIB_India

— Nirmala Sitharaman (@nsitharaman) April 1, 2021

(Edited by : Aditi Gautam)