National Saving Schemes: CDNS raises rates on some products

The Central Directorate of National Savings (CDNS) has raised the rates of return on some of its National Savings Schemes with the hike going as high as 24 basis points (bps), Business Recorder learnt on Friday.

The increase in rates comes after three downward revisions in the last three months.

Rates of Special Savings Certificates (SSC) were increased by 20bps to 15.80% from 15.6%. The Regular Income Certificates (DSC) will offer a return of 14.76% return, as compared to 14.64% earlier, an increase of 12bps.

National Saving Schemes: CDNS reduces rates of return on majority instruments

Similarly, rates on Bahbood Savings Certificates (BSC), Pensioners Benefit Account (PBA), and Shuhadas Family Welfare Account (SFWA) rose to 15.60% each, after an increase of 24bps.

However, the rates on Short Term Savings Certificates (STSC) were reduced by 76bps to 19%.

Meanwhile, the rates on Defence Saving Certificates (DSC), Savings Account (SA), Sarwa Islamic Term Account (SITA), Sarwa Islamic Saving Account (SISA) stood unchanged at 14.40%, 20.50%, 18.54%, and 20.50%, respectively.

The change in the rates of return took effect from March 19, 2024 onward.

Earlier this week, the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) kept the key policy rate unchanged at 22%, its sixth successive decision to maintain the status quo.

It may be noted that Pakistan’s headline inflation clocked in at 23.1% on a year-on-year basis in February this year, Pakistan Bureau of Statistics (PBS) data showed, much lower than the reading in January when it stood at 28.3%.