In response to increasing policy rates, the Pakistani government has announced significant raises in profit rates for all national savings schemes (NSS) from April 10, 2023. This decision follows the State Bank of Pakistan’s (SBP) considerable increase in the policy rate to a record 21 per cent in its recent Monetary Policy Committee meeting to combat inflation.
The Finance Division announced on Friday, through a notification issued under Rule-II of the Pensioners’ Benefit Accounts Rules, 2003, that the rate of profit on deposits made in Pensioners’ Benefit Accounts and Behbood Savings Certificates will be 16.56 per cent per annum from April 10, 2023, until further notice.
Additionally, the rate of profit on deposits made in Shuhada’s Family Welfare Account will be 16.56 per cent per annum from April 10, 2023, until further notice.
The Central Directorate of National Savings (CDNS) has also increased the profit rate on Defence Saving Certificates from 9.29 per cent to 14.87 per cent. The profit rate on Regular Income Certificates has been raised to 12.84 per cent of the total investment.
Similarly, the profit margin on the three-year Special Saving Certificates and Special Savings Account has been increased to 17 per cent for the first five profits and to 17.8 per cent for the sixth profit. Furthermore, the return on Saving Accounts (running accounts) has been raised to 18.5 per cent. However, it’s worth noting that there will be a deduction of Withholding Tax and Zakat as per the rules.