Govt slashes profit rates on National Savings Schemes
Business
The Islamic Saving Account also saw a major cut, with the profit rate falling by 59 basis points
KARACHI (Dunya News) – In a move that caught many investors off guard, the government has significantly cut profit rates on various National Savings Schemes, prompting experts to predict a shift toward stock market investments.
According to reports, the return on Defence Saving Certificates has been trimmed by 15 basis points, dropping from 11.91 per cent to 11.76 per cent.
Similarly, Special Saving Certificates took a sharper hit, with rates reduced by 30 basis points — from 10.90 per cent down to 10.60 per cent.
The Islamic Saving Account also saw a major cut, with the profit rate falling by 59 basis points to settle at 9.75 per cent.
Read also: Govt decreases nationals savings profit rates
In addition, the profit on the Shuhada Family Welfare Account has been reduced by 24 basis points, while Regular Income Certificates witnessed a decrease of 20 basis points.
Experts say this across-the-board reduction in profits may push more investors to try their luck in the stock market, hoping for better returns.
“This change will likely drive investors to look elsewhere,” a market analyst noted. “With profits on savings schemes being shaved off, the stock exchange could see a fresh wave of activity.”
