Currently, the following profit rates are being offered on different National Savings Schemes;
The Federal Minister for Finance and Revenue Shaukat Fayaz Ahmed Tarin told the National Assembly in a written reply on September 29, 2021 that the government of Pakistan is fully committed to provide competitive and market-based rates of return to small savers through National Savings Schemes (NSS).
The NSS rates are attached with Pakistan Investment Bonds (PIB) for medium and long-term instruments and with T-bills for short-term securities.
The National Savings Schemes rates are fixed at 95% of PIBs and T-bills of comparable maturities.
Moreover, in order to respond to the upward or downward trends of interest rate scenario in the market, the rates of NSS are revised after every auction of PIBs. It is pertinent to mention that the decrease in National Savings rates is due to the downward revision of discount rate by the Central Bank which eventually affected the yield of PIBs and T-Bills.
However, despite the cut in rates, the profit of NSS is still competitive for the general public as compared to other available avenues.
The government is also providing special enhanced rates of return to the specialized segment of society i.e. Pensioners’, Widows, Senior Citizens, disabled persons and families of Shuhdaas (martyrs) through Pensioners Benefit Account (PBA), Bahbood Savings Certificates (BSCs), and Shuhdaas Family Welfare Account.
It is also worth mentioning that National Savings is providing financial services to the individual common saver and household without any explicit or hidden charges in order to promote saving culture.
No fee is charged for the issuance of profit coupon books, withdrawal slips, and other services.
Further, the unified rate of return is being offered irrespective of the volume of investment and no preferential treatment is being given to high net worth investors.
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