Pakistan revises National Savings rates, raises returns on most schemes

Pakistan’s National Savings has revised rates across a range of savings schemes effective October 1, raising returns on most products while cutting the rate on three-month Short Term Savings Certificates, according to a rate sheet.

The largest increase was recorded for Special Savings Certificates and Special Savings Accounts, where the rate rose by 74 basis points to 11.82% from 11.08%. Regular Income Certificates followed with a 60-basis-point increase to 11.76% from 11.16%.

The rate on Defence Savings Certificates increased by 19 basis points to 11.80% from 11.61%, while Behbood Savings Certificates, Pensioners Benefit Accounts and Shuhada Family Welfare Accounts rose by 12 basis points to 12.72% from 12.60%.

Changes in Short Term Savings Certificates were mixed. The three-month rate fell by 6 basis points to 10.80% from 10.86%, while the six-month rate increased by 22 basis points to 11.08% from 10.86% and the 12-month rate edged up by 3 basis points to 11.31% from 11.28%.

Rates on Sarwa Islamic products also increased. The Sarwa Islamic Savings Account and one-year Sarwa Islamic Term Account rose by 8 basis points each to 11.33%, while the three-year term account increased by 41 basis points to 11.57% and the five-year rate rose by 54 basis points to 11.70%.

Which National Savings schemes saw the biggest increases?

Special Savings Certificates and Special Savings Accounts recorded the largest increase, rising 74 basis points to 11.82%. Regular Income Certificates followed with a 60-basis-point increase to 11.76%, while the five-year Sarwa Islamic Term Account rose 54 basis points to 11.70% and the three-year option increased 41 basis points to 11.57%.

Despite their smaller 12-basis-point increase, Behbood Savings Certificates, Pensioners Benefit Accounts and Shuhada Family Welfare Accounts carry the highest rate among the products listed in the sheet, at 12.72%.

The ordinary Savings Account rate remained unchanged at 10%. The rate sheet also shows no change for registered Premium Prize Bonds at 10.60% or bearer National Prize Bonds at 10%.