ISLAMABAD (Kashmir English): National Savings has announced an increase in profit rates on multiple accounts, providing relief to consumers in this inflation.
Profit rate on Regular Income Certificates, the document said, has been maintained at 12.24 percent, whereas Special Savings Accounts have an average profit rate of 12.4 percent.
For Bahbood Savings Certificates, the profit rate will remain at 13.20 percent. The same will be the case for Pensioners’ Benefit Accounts and Shaheed Family Welfare Accounts.
In Short Term Savings Certificates, profit rates have been revised upward on all three tenors. Profit rate on the three-month scheme has been revised from 10.61pc to 11.4pc; the six-month scheme is revised from 10.99pc to 11.66pc whereas the annual scheme has a revised profit rate of 11.77pc (from 11.14pc).
In Sarwa Islamic Term Accounts, the profit rate for one and two years’ tenor has been kept unchanged and has been fixed at 11.88 percent. Defence Savings Certificates (1-10 years’ tenor) also have increased rates.
Withholding tax structure
The notification has also adjusted the withholding tax structures as the new withholding tax rate for the Filers on National Savings Accounts will remain 15 percent, while the tax on Non-filers has been reduced from 35 percent to 30 percent. 2.50pc deduction for Zakat will continue on eligible accounts.
Earlier, the government had increased the profit rates of National Saving schemes, including the Sarwa Islamic products, with the revised structure coming into effect from May 26, 2026.
As stated in an official notification, the National Savings Department updated profit rates for some instruments, but a bunch of them have stayed as they were, more or less.
Under the refreshed arrangement, the Special Savings Certificate/Account will now pay 11.6% per annum for the first five profit payouts, and then the final payout has been moved up to 12.4% annually.
For Short Term Savings Certificates, the government also lifted the numbers a bit. The annual returns are now set at 10.84% for three months, 10.58% for six months, and 11.23% for one year.
At the same time, the Savings Account will provide a fixed profit rate of 10% per annum, so that part is not meant to be variable. Meanwhile, the returns for several longer-horizon instruments and welfare-type schemes have been kept as they were before.
These include Defence Savings Certificates, Bahbood Savings Certificates, Pensioners’ Benefit Account, and the Shuhada Family Welfare Account, all of which will continue to offer 12% per year.
On the Islamic side of things, the government has adjusted returns, too. Sarwa Islamic Term Account and Sarwa Islamic Savings Account both got a raise in expected profit. The one-year Islamic term account is now at 10.93% expected annual return, and the five-year account has been set at 11.16%.
