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Start learning 50% faster. Sign in nowMinistry of Finance has launched a scheme namely ‘Pradhan Mantri Vaya Vandana Yojana’ (PMVVY) to provide social security during old age and to protect elderly persons aged 60 and above against a future fall in their interest income due to uncertain market conditions. The Scheme enables old age income security for senior citizens through provision of assured pension/ return linked to the subscription amount based on Government guarantee to Life Insurance Corporation of India (LIC). PMVVY is open for subscription upto 31st March 2023 and offers an assured rate of return of 7.40% per annum for the year 2020-21 for policy duration of 10 years. In subsequent years, while the Scheme is in operation full month 2023, there will be annual reset of assured rate of return with effect from April 1st of the financial year in line with applicable rate of return of Senior Citizens Saving Scheme (SCSS) upto a ceiling of 7.75% with fresh appraisal of the scheme on breach of this threshold at any point. Investment limit is Rs 15 lakhs.
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