Profit rates on savings schemes slashed

ISLAMABAD: The government on Friday slashed profit rates on all savings schemes and accounts of the Central Directorate of National Savings (CDNS). The new rates will be applicable to deposits and investments with effect from April 24.

According to a series of notifications issued by the Ministry of Finance, profit rate on Defence Savings Certificates has been reduced by two percentage points to 8.54 per cent from 10.54pc.

Likewise, the rate of return on Behbood Savings Certificates and Pensioners’ Benefit Account has been slashed by 1.96 percentage points to 10.32pc from 12.28.

Similarly, the return on regular income certificates has been reduced by 2.28 percentage points to 8.28pc from 10.56pc.

The return on special savings certificates has been reduced by 3.03 percentage points to 8.10pc from 11.13.

The rate of return on savings accounts certificates has been scaled down by 1.6 percentage points to 7pc from 8.60pc.

The rates have been revised down due to the declining secondary market yields on long-term Pakistan Investment Bonds and Treasury Bills in line with the decreasing policy rate of the State Bank of Pakistan.