CDNS amassed Rs 62.3 billion in July-October

The Central Directorate of National Savings (CDNS) collected Rs 62.3 billion through investment in various saving instruments such as defence saving certificates, during first four months (July-October) of the current fiscal year.
Well-placed sources told Business Recorder on Monday that the target set for the saving scheme for 2011-12 was Rs 186 billion while till October 28, the CDNS has amassed Rs 62.3 billion according to the provisional data made available to Business Recorder by the concerned authorities."
Within the next 15-20 days, the investments made through the Post Office and different banks, would be transmitted to the institute and it is expected that the investment made during the first four months of ongoing fiscal year would exceed Rs 65 billion," sources maintained. Sources said during corresponding period last year, total investment in different CDNS schemes was about Rs 55 billion while the overall target in 2010-11 was Rs 223 billion.
Sources added that CDNS is trying to automate all Savings Centers and in this regard 89 centers have been automated in 12 different regions throughout the country. "The overall investment made on prize bonds during the first quarter of the current fiscal year was Rs 10.5 billion, which comes out to be Rs 3.5 billion per month while the investment target of the price bonds was Rs 37 billion, sources revealed.
CDNS is going to launch a new prize bond, worth Rs 25000, and it is likely to be brought forward for sale in coming December. Prize bonds are bearer type of security available in the denominations of Rs 200, Rs 750, Rs 1,500, Rs 7,500, Rs 15,000 and Rs 40,000.
CDNS has reduced the discount rate on 3-year long schemes from 13.33 percent per annum to 12.5 percent per annum, while on 5-year saving schemes from 13.44 percent to 12.6 percent per annum. Also, the discount rate has been reduced from 13.5 percent per annum to 12.68 percent for the Defence Saving Certificates, while under Behbud Scheme, pensioners and over 60 years old investors made maximum contribution. The discount rate has also been reduced from 15.36 percent to 14.4 percent per annum.
"The reduction in discount rate and the institutional investment ban would definitely have adverse effect on the overall investment of CDNS in the long run," sources emphasised. A non-resident Pakistani can make investment in National Savings Schemes from abroad by sending cheque or draft in any currency in favour of Officer Incharge of National Savings Centre. The investment in all National Savings Schemes is maintained in PKR only.