The Central Directorate of National Savings (CDNS) has reduced profit rates on several of its National Savings Schemes while keeping others unchanged, Business Recorder learnt on Monday.
Rates of Saving Account (SA) decreased by 150 basis points (bps) to 19% from 20.5%. The Short Term Saving Certificates (STSC) will offer a return of 17.9% return, as compared to 19.24% earlier, a decrease of 134bps.
Similarly, the rate on Sarwa Islamic Saving Account declined to 19% after a decrease of 150bps.
Meanwhile, the rate of other schemes remained unchanged.
The change in the rates of return took effect from August 07, 2024.
National Saving Schemes: CDNS revises rates on almost all products
The National Savings Organization is Pakistan’s largest financial institution, managing a portfolio exceeding Rs3.4 trillion and serving over 4 million customers through an extensive network of 376 branches across the country, administered by 12 Regional Directorates.
The CDNS has been instrumental in generating funds for the government, helping to finance budgetary deficits and support critical infrastructure projects.
Last month, the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) reduced the key policy rate by 100 basis points, taking it to 19.5%, its second successive decision of a cut.
It may be noted that Pakistan’s headline inflation clocked in at 11.1% on a year-on-year basis in July 2024, lower than the reading in June 2024 when it stood at 12.6%.
This was the lowest CPI figure since November 2021 when it stood at 11.5%, shows data available with the Pakistan Bureau of Statistics (PBS).
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