The Ministry of Finance, Government of Pakistan reduced profit rates on various National Savings Schemes issued under the umbrella of Central Directorate of National Savings.
According to notifications issued on April 24, 2020; the profit rate on Pensioner`s Benefit Account (PBA), Shuhada`s Family Welfare Account (SWFA), Behbood Savings Certificates (BSC) will be 10.32% per annum. Similarly, the annualized profit rate on Saving Bank Accounts (SBA) and Special Savings Accounts (SSA) has been reduced to 7.00% and 8.00% respectively.
In the same way, the profit rates on Defence Savings Certificates (DSC), Special Savings Certificates (SSCs) and Regular Income Certificates (RIC) have also been slashed to 8.54%, 8.10% and 8.28% respectively.
Below is summary of these new profit rates:
| S# | National Saving Scheme | Revised Profit Rate |
| 1. | Pensioner`s Benefit Account (PBA) | 10.32% |
| 2. | Shuhada`s Family Welfare Account (SWFA) | 10.32% |
| 3. | Behbood Savings Certificates (BSC) | 10.32% |
| 4. | Saving Bank Accounts (SBA) | 7.00% |
| 5. | Special Savings Accounts (SSA) | 8.00% |
| 6. | Defence Savings Certificates (DSC) | 8.54% |
| 7. | Special Savings Certificates (SSCs) | 8.10% |
| 8. | Regular Income Certificates (RIC) | 8.28% |
Earlier, Monetary Policy Committee (MPC) of SBP slashed the policy rate by 425 basis points i.e. 4.25% amid the coronavirus pandemic. Therefore, it was expected that the rates of National Savings Schemes would also be reduced in line with prevailing policy rate.
National Savings Schemes have remained popular among public due to its lucrative rates as compared to other avenues. As on Jan 2020, the total borrowed amount in all National Savings Schemes stands at Rs. 4.05 trillion. A sum of Rs. 984 billion (equivalent to 25% of total borrowing) has been raised under the BSC alone while the prize bonds portfolio is second with an outstanding amount of around Rs. 733 billion.
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