ISLAMABAD: The government has quietly slashed profit rates on all national savings schemes — both conventional and Sharia-compliant — within a month, dealing a fresh blow to small investors, particularly pensioners, widows, and low-income savers.
Despite repeated adjustments, the Central Directorate of National Savings (CDNS), which operates under the Ministry of Finance, continues to withhold timely public disclosure. Revised profit rates are neither published on the CDNS website nor released to the media. Instead, notifications are discreetly shared with agents and regional offices via post, often after weeks of delay, leaving the majority of savers — many of whom are elderly or from vulnerable groups — in the dark.
According to notifications issued by the Ministry of Finance, the profit rate on Special Savings Certificates (SSC) and special saving accounts has been reduced by 20 basis points (bps) to 10.40pc from 10.60pc earlier this month, and from 10.90pc last month — marking a cumulative decline of 50bps. Returns on short-term savings have also been cut by 26bps to 10.14pc from 10.40pc.
The Defence Savings Certificates, a long-term investment product, saw another reduction of 15bps to 11.61pc from 11.76pc. Earlier this month, the rate had been lowered by 15bps from 11.91pc, resulting in a total reduction of 30bps in July.
Returns trimmed again in a month, hitting pensioners, small investors
Regular Income Certificates have experienced a sharper decline — falling by 48bps to 10.68pc from 11.16pc. With earlier cuts, the total reduction now stands at 84bps from 11.52pc recorded last month.
Profit rates on the Pensioners’ Benefit Account, Behbood Savings Certificates (BSCs), and the Shuhada Family Welfare Account have been slashed by 24bps each, down to 12.96pc from 13.20pc earlier this month. Including a 24bps cut from last month’s 13.44pc rate, the total drop now stands at 48bps. These instruments are exclusively available to senior citizens, widows, and physically-challenged individuals.
Sharia-compliant instruments have not been spared either. Returns on the Sarwa Islamic Term Account (SITA) and Sarwa Islamic Saving Account (SISA) have been reduced by 19bps, from 10.13pc to 9.94pc.
All revised rates came into effect on July 28.
Published in Dawn, July 30th, 2025
