The Central Directorate of National Savings (CDNS) has announced a reduction in profit rates for several of its National Savings Schemes, while rates for other schemes remain unchanged.
Effective from August 7, 2024, the profit rate for the Savings Account (SA) has been cut by 150 basis points to 19 per cent, down from the previous 20.5 per cent.
The Short Term Saving Certificates (STSC) will now offer a return of 17.9 per cent, a decrease of 134 basis points from the earlier rate of 19.24 per cent.
Additionally, the rate for the Sarwa Islamic Saving Account has also been reduced to 19 per cent, reflecting a 150 basis point drop.
Rates for other National Savings Schemes have been maintained at their current levels.
The CDNS, Pakistan’s largest financial institution, manages a portfolio exceeding Rs3.4 trillion and serves over 4 million customers through its network of 376 branches across the country, overseen by 12 Regional Directorates.
The organisation plays a crucial role in generating funds for the government, contributing to budgetary needs and supporting key infrastructure projects.
Last month, the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) reduced the key policy rate by 100 basis points to 19.5 per cent, marking its second consecutive cut.
Pakistan’s headline inflation was recorded at 11.1 per cent on a year-on-year basis in July 2024, down from 12.6 per cent in June 2024.
This represents the lowest Consumer Price Index (CPI) figure since November 2021, when it stood at 11.5 per cent, according to data from the Pakistan Bureau of Statistics (PBS).