Saving deposited with BISP: 150,000 beneficiaries to get 40pc increase

ISLAMABAD: Up to 150,000 beneficiaries, initially, would get an increase of 40 per cent, per beneficiary, on their savings deposited with Benazir Income Support Programme (BISP) under the BISP Savings Scheme, Chairman BISP Dr Amjad Saqib announced on Thursday.

The beneficiaries would be required to save a portion of their income in their saving accounts, with the federal government pledging to contribute an additional 40 per cent of consumer savings, he said, addressing the launching ceremony of the Savings Scheme initiative.

The families benefiting from BISP and individuals with a 40 PMT (proxy means test) score would be eligible to participate in the scheme, catering to those traditionally underserved by social protection interventions, he explained.

This initiative targets the informal sector, often referred to as the “missing middle,” lacking access to social welfare schemes, he added.

“The BISP Savings Scheme aims to instil financial independence and savings habit among consumers, fostering resilience during times of economic uncertainty,” Dr Saqib stated.

The BISP Savings is a hybrid social protection initiative that encourages financial inclusion enabling the subscribers to open and maintain savings accounts, he said.

“This connection to the conventional banking system enables access to additional services such as microfinance and insurance,” Dr Saqib said, adding that both men and women are eligible to apply for this scheme.

On the occasion, a briefing given by Additional Secretary BISP Dr Tahir Noor and Director General National Social Economic Registry (NSER) at BISP Naveed Akbar suggested that the pilot projects of the BISP Savings Scheme would be initially launched phase-wise in different cities across the four provinces, Islamabad Capital Territory (ICT), Gilgit- Baltistan (GB), and Azad Jammu and Kashmir (AJK).

The pilot projects would be launched in Lahore and Multan in Punjab; Karachi and Sukkur in Sindh; Peshawar and Lakki Marwat in Khyber Pakhtunkhwa; Quetta and Killa Saifullah in Balochistan; Gilgit and Astor in GB, and Muzaffarabad and Neelum AJK, besides ICT, the briefing suggested.

Dr Noor emphasised the importance of regular savings for consumers, asserting that these funds would prove valuable in challenging situations.

Senior officials from different organisations including those from World Bank, German Development Cooperation, Asian Development Bank and United Nations Children Fund also shared their views on the occasion.

Copyright Business Recorder, 2023