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Pakistan Raises Profit Rates on Most National Savings Schemes

The Finance Division says the move aligns returns with higher central bank interest rates and aims to boost income for savers on fixed payouts.

Overview

  • The government revised profit rates for eight national-savings instruments, raising returns across most products while leaving Defence Savings Certificate and Behbood Savings Certificate unchanged.
  • Special Savings Certificate and Special Savings Account saw the largest hikes, up 220 basis points for the first five half-year periods to 11.60% and up 200 basis points for the final half-year period to 12.40%.
  • The Regular Income Certificate, a popular monthly-income product for pensioners, was increased from 9.96% to 11.82%, which will raise regular payouts for holders.
  • The Savings Bank Account rate rose by 100 basis points to 10%, and Sarwa Islamic (Sharia-compliant) products received smaller, targeted increases than conventional schemes.
  • Officials link the changes to the central bank's earlier interest-rate rise and say higher returns should attract retail investors, help income-reliant households cope with rising prices, and support domestic resource mobilization.