National Saving Schemes: CDNS revises rates of return downwards

The Central Directorate of National Savings (CDNS) has reduced the rates of return on majority of its National Savings Schemes (NSS) with the decrease going as low as 360 basis points (bps), Business Recorder learnt on Friday.

The rates of Special Savings Certificates (SSC) were decreased by 360bps to 11.60% from 15.20%, brokerage house Arif Habib Limited reported.

The changes take effect from November 4, 2024 onward.

The Sarwa Islamic Term Account (SITA) and Sarwa Islamic Savings Account (SISA) will offer a return of 11.16% each, after a decline of 309bps from 14.25% each.

The return on Special Savings Account (SSA) was decreased by 220bps to 13% from 15.20%.

Similarly, Regular Income Certificates (RIC) will offer a 12.12% return, as compared to 12.72% earlier, a decrease of 60bps.

The rates on Bahbood Savings Certificates (BSC), Pensioners Benefit Account (PBA), and Shuhadas Family Welfare Account (SFWA) were decreased by 24bps each to 13.92% each.

Meanwhile, the rates of Defence Saving Certificates (DSC) and Short Term Savings Certificates (STSC) stood unchanged.

It may be noted that the upcoming Monetary Policy Committee (MPC) meeting to decide the key policy rate is scheduled for November 4, 2024.

Pakistan’s headline inflation clocked in at 7.2% on a year-on-year basis in October 2024, slightly higher than the reading in September 2024 when it stood at 6.9%, showed Pakistan Bureau of Statistics (PBS) data earlier on Friday.