New Delhi, May 7 -- A Rs.25 lakh fixed deposit (FD) in 2026 is no longer just a place to park idle money; it has become a source of steady income amid uncertain markets. With inflation to beat and capital safety to protect, FDs are once again being viewed as a reliable way to generate predictable monthly cash flow.

What's also reshaping investor preference is the broader backdrop. Geopolitical tensions in the Middle East, including the US-Iran conflict, along with a largely flat market, where the Nifty 50 has delivered -0.26% returns over the past year, have made fixed deposits look far more attractive for conservative and retired investors.

To put it simply, at the currently applicable interest rates of up to 7.75%, a Rs.25 lakh FD can...