FRSB 2020(T) Interest Rate Unchanged at 8.05% for July-December 2025

Investors in the Floating Rate Savings Bonds, 2020 (Taxable) – FRSB 2020(T) can expect a consistent return as the interest rate remains at 8.05% for the period of July 1, 2025, to December 31, 2025.

Interest Rate Calculation

The interest rate for FRSB 2020(T) is adjusted semi-annually, based on the prevailing National Savings Certificate (NSC) interest rate. According to the Government of India Notification F.No.4(10)-B(W&M)/2020 dated June 26, 2020, the FRSB 2020(T) rate is calculated by adding a spread of 35 basis points (0.35%) to the NSC rate.

Current Rate Maintained

The current NSC rate, combined with the 35 basis point spread, results in an 8.05% interest rate for FRSB 2020(T) for this period. This rate will be payable on January 1, 2026, and remains unchanged from the previous six-month period.

Understanding the FRSB

The FRSB 2020(T) offers a flexible savings option linked to market interest rates, providing investors with a degree of protection against fluctuating returns. The regular interest adjustments ensure that the bond’s yield remains competitive with other savings instruments.

For further details, investors are encouraged to refer to the official government notification mentioned above.

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