Interest rate on National Savings certificates cut by 1%

ISLAMABAD: The Central Directorate of National Savings (CDNS) has reduced the interest rate by 1 percent on the savings certificates investment due to lower rates of Pakistan Investment Bonds (PIB).

The rate of return on ‘Behbood Savings Certificates’ (BSC) has been reduced from 10.32 to 9.84 percent and similarly Pensioner Benefit Accounts (PBA) has been reduced down from 10.32 to 9.84 percent.

The profit rates on ‘Shuhada Family Welfare Account’ also reduced from 10.32 to new rates of 9.84 percent applicable from June 02 of this year.

The profit rates on ‘Defense Savings Certificates’ (DSC) was also reduced from 8.54 to 8.05 percent and interest rates on ‘Regular Income Certificates’ was reduced from 8.28 to 7.44 percent as per the current market situation.

The profit rates on Special Savings Certificates (Registered)/Accounts was also reduced on all different categories of certificates from – 8% to 7.10&% on the fifth profit, 8.60 to 7.40 percent to sixth profit, and 8.10 to 7.15 percent on average.

The Short Term Savings Certificates profit rates have also been reduced on different categories on a month-on-month basis; from 7.80 to 7.72 on three-month certificates, 7.50 to 7.36 percent on six-month certificates, but it has been slightly increased from 6.95 to 7.30 percent on 12-month certificates.

The profit rates on Savings Account had also been reduced from 7.00 to 6.50 percent as decided by last meeting held by the Ministry of Finance.

The CDNS interest rates are linked with the policy of PIB, set by State Bank of Pakistan (SBP), a senior CDNS official told a news agency.

He said CDNS did not accept institutional investment but only individual investment was encouraged to deposit for saving in the National Savings.