Sarwa Islamic Savings Account profit rate revised for February 2025
- By Web Desk -
- Feb 26, 2025
The Sarwa Islamic Savings Account (SISA) operates under the Shariah-compliant Wakala-bil-Istismar model, which is an investment agency arrangement.
In this structure, the account holders (referred to as the ‘Muwakkil’, or principal) appoint the ‘Wakeel’ (agent) to manage their funds on their behalf.
In the case of the Sarwa Islamic Savings Account, the account holders request the Registrar and National Savings (RNS) or Central Directorate of National Savings (CDNS) to designate the Ministry of Finance (MoF) as their agent for investing the funds in government projects or revenue-generating assets that comply with Shariah principles (referred to as the Shariah Approved Project Portfolio).
Upon receiving such a request, CDNS will instruct the MoF to establish Shariah-compliant agreements for the management of these investments, aiming to generate profits for the account holders.
Revised Profit Rates of Sarwa Islamic savings account for February 2025
Effective February 2025, CDNS has revised the profit rates for various savings schemes, including Sarwa Islamic savings account. The profit rate for the Sarwa Islamic savings account is now set at 9.74%, a decrease from the previous rate of 9.90%. This adjustment reflects the overall decrease in inflation rates within the country.
Read More: Pakistan reduces profit rates on National Savings certificates
Earlier, at the end of January 25, the Pakistan government reduced profit rates for various national savings schemes by two per cent.
The decision was taken as per the State Bank of Pakistan’s policy rate that was cut by 100 basis points to 12 per cent. As per the notification that was issued by the finance ministry, the profit rate on Regular Income Certificates was reduced to 11.88 per cent from 12 per cent annually.
Also, the rates for short-term certificates were adjusted, with the three-month certificate profit falling from Rs3,190 per 100,000 to Rs2,810 per 100,000. Along with these adjustments, the rate of return on Defense Saving Certificates has been reduced to 14.22 per cent from 14.41 per cent.