The Reserve Bank of India (RBI) recently reduced the repo rate to 5.5%, a step taken to revive economic growth and enhance credit availability. While this move may support borrowing and business activity, it poses a silent challenge to conservative investors especially retirees and those dependent on fixed-income instruments.

As repo rates trend downward, bank fixed deposit (FD) rates and pension returns are also expected to decline, since they’re closely linked. If you're relying on traditional savings tools like FDs or conventional pension plans for your future income, this shift could erode your financial stability over time.

The Silent Threat of Falling Interest Rates

Most investors view fixed deposits and pension plans as "safe" options. While they may be safe in terms of capital protection, they’re not immune to interest rate fluctuations. A falling interest rate environment leads to:

• Lower returns on reinvested fixed deposits
• Reduced pension income from rate-linked plans
• Erosion of purchasing power due to inflation

In such a scenario, it’s critical to diversify your retirement corpus and ensure that at least part of your income is protected from future interest rate cuts.

Jeevan Akshay and Jeevan Shanti: Your Shield Against Falling Returns

LIC of India offers two powerful annuity plans "Jeevan Akshay and Jeevan Shanti" that act as lifelong financial shields in uncertain times.

Key Benefits:

Guaranteed Lifetime Income: Once locked in, your income remains stable, irrespective of market or interest rate changes.

Interest Rate Immunity: Your returns are fixed at the time of purchase and are unaffected by falling repo or FD rates.

Trusted Backing: These plans are issued by LIC, India’s most trusted life insurer, with sovereign backing and long-term credibility.

Flexibility: Options for single life, joint life, deferred annuity, and more based on your retirement goals.

Why Act Now?

With further repo rate cuts likely in the near future, delaying your investment could mean locking into lower annuity rates. Acting now allows you to lock in higher lifelong income while current rates are still relatively favorable.

Ready to Take Control of Your Financial Future?

If you're looking for stability in uncertain times, LIC’s Jeevan Akshay and Jeevan Shanti plans offer a reliable, tax-efficient, and stress-free solution for retirement planning.

Feel free to reach out to learn more about how these plans can fit into your financial strategy.