CDNS obtains free deposit of Rs670bn in last 3 quarters

ISLAMABAD: The Central Directorate of National Savings (CDNS) has received a free deposit of Rs670 billion in the last three quarters from July 1, to April 25, in the current fiscal year 2020-21.

The CDNS has set Rs249 billion annual collection target collection from July 1 to June 30 for the year 2020-21 as compared to Rs352 billion for the previous year’s 2019-20 to enhance savings and promote saving culture in the country, a senior official of CDNS told APP here on Tuesday.

The CDNS had set Rs352 billion annual collection target for the year 2019-20 as compared to Rs350 billion for the previous year’s 2018-19, he said.

He has received an increased investment of Rs45 billion by April 25 of this fiscal year's 2020-21 from the registered Premium Prize Bond of Rs 40,000 and Rs25000 newly introduced by the institution.

In the last one and a half years, investors have withdrawn Rs380 billion after the suspension of the said bond.

He said new registered Premium Prize Bonds of Rs40,000 and Rs25,000 were registered by State Bank of Pakistan (SBP) and en-cashed only by the registered financial institution under the SBP.

Replying to another question, he informed, “We paid the encashment of Rs128 billion by April 25 of this month to the investors against the suspension of prize bonds of Rs 25,000."

He said the federal government recently suspended the prize bonds of Rs25,000 and had given a six-month deadline to investors to en-cash their total savings of Rs160 billion.

The senior official of CDNS said National Savings has paid Rs128 billion to their customers in the last four months and remaining 32 billion out of total Rs 160 billion would also be paid by May 30, 2021, he said.

He informed that the government has already canceled prize bonds of Rs40,000 and CDNS repaid to the investors the encashment worth of Rs258 billion in previous fiscal year 2019-20, he said.

He said the CDNS has opened new avenues for public and private investment to document the country’s economy and ensure transparency in the financial system.

Replying to another question on current revision of CDNS certificate profit rates, he said the CDNS has maintained the same interest rate on the savings certificates investment due to the market situation and as per Pakistan Investment Bonds (PIB) policy decision.

He informed that the CDNS interest rates were linked with the policy of PIB, set by State Bank of Pakistan (SBP).