Post Office Monthly Income Scheme for NRI - POMIS Interest Rate 2026

What is a Post Office Monthly Income Scheme (POMIS) for NRI?

The Post Office Monthly Income Scheme (POMIS) is an investment plan offered by the Postal Department which allows investors to invest a lump sum amount of money which earns monthly interest. This monthly interest is then paid to the investor as monthly income. NRIs are not eligible to enrol in the POMIS; however, they can benefit from the scheme through a resident relative.

What are the Features of POMIS?

The Post Office Monthly Income Scheme (PO – MIS) offers the following key features:

Maximum Investment Limit for Post Office Monthly Income Scheme (POMIS)

You can invest in the PO – MIS scheme as per the following investment limits:

POMIS Interest Rate

The current interest rate for the Post Office Monthly Income Scheme (POMIS) is 7.40% per annum, payable monthly. The current rate has been constant since 2023 and has not seen any changes for FY2026. The following table lists the historical interest rates of POMIS. Note that the government reviews the interest rate every quarter and revises it at its discretion.

*POMIS Interest rate as of August 2026

Benefits of POMIS

The key benefits of the Post Office Monthly Income Scheme (POMIS) are listed below:

• Steady Monthly Income: Provides a fixed monthly income, ensuring financial stability.

• Government Backing: POMIS is backed by the Indian government, adding credibility to the investment.

• No Market Risk: Unlike investments in stocks or mutual funds, POMIS does not expose you to market fluctuations.

• Reliable Returns: Offers a predetermined interest rate, ensuring a reliable and predictable return.

• Low Minimum Investment: Allows investors to start with a relatively low amount.

Eligibility Criteria for PO – MIS

• Residency Requirement: Only resident Indians can open a POMIS account; it is not applicable to Non-Resident Indians (NRIs).

• Age Criteria: Individuals above 18 years can open their own accounts.

• Minor Accounts: Accounts for minors (aged 10 and above) can be opened by someone on their behalf. At 18, minors gain access to the funds.

• Conversion at Majority: Once a minor reaches the age of majority, they need to apply to convert the account into their name.

Documents Required for PO – MIS

The following documents are required to apply for the Post Office Monthly Income Scheme (POMIS) in India:

• Identity Proof: Aadhaar card, PAN card, voter ID card, or other government-issued ID.

• Address Proof: Utility bills, bank statements, or other documents reflecting the resident's address in India.

• Two Passport-Sized Photographs

Penalty on Early Withdrawal from POMIS Account

Penalty is levied on early withdrawal from Post Office Monthly Income Scheme (POMIS) account as the following rules:

Singapore-Based Alternatives for Steady Income for NRIs

Since NRIs are not eligible to directly benefit from POMIS, NRIs based in Singapore can invest in the following investment options, which provide investors with a steady income.

• Singapore Savings Bonds (SSB): These are government-backed bonds with the maximum amount of investment capped at 2,00,000 Singaporean dollars, which can be redeemed in any month along with the interest, which is paid every six months.
• NRE Fixed deposits: Most Indian Banks provide the facility of NRE fixed deposits. NRE FD rates are generally high, and the interest earned on them is also completely tax-free in India.
• RBI Retail Direct: NRIs can also open an NRE-DEMAT account or a PIS NRO account and directly invest in Indian government bonds. You can invest in G-Secs, T-bills and SDLs as per your need for return.

(POMIS) vs. Monthly Income Plans

POMIS vs Other Post Office Savings Schemes

In Conclusion

The Post Office Monthly Savings scheme provides a stable avenue of investment to resident Indians. Non-resident Indians can fund the POMIS investments of their resident relatives to provide them with a steady source of income while their capital remains fully protected. Since POMIS is not available for NRIs, they can check our specific NRI investment plans and choose a plan best suited for them and their financial needs.