Special Savings Certificate profit rate revised for January 2025

ISLAMABAD: The National Savings, also known as Qaumi Bachat, has updated the profit rates for Special Savings Certificates in January 2025. These certificates are a popular investment option designed for small and medium investors, offering a secure way to earn regular returns.

Special Savings Certificates are a three-year investment plan that pays profit every six months. This scheme is open to the general public and allows investors to put in any amount as there is no maximum limit on investment.

Special Savings Certificates profit rates for January 2025

The profit rate for Special Savings Certificates in January 2025 has been set at 11.60 percent for the first five bi-annual profit periods. For the sixth and final profit period, the rate will increase to 12.60 percent.

This means an investment of Rs 100,000 will yield Rs 5,800 for each of the first five profits, while the last profit will generate Rs 6,300.

Tax on Profit

For Active Taxpayers (ATL) a 15 percent withholding tax will be deducted from the profit. While, non-filers will pay a higher tax rate of 30 percent on their profit.

This scheme offers a reliable option for those looking to invest and earn bi-annual returns, making it a suitable choice for individuals seeking steady income from their savings.

Earlier, CDNS decided to not change the profit rates on Short Term Savings Certificates, effective January 2025. This adjustment comes in response to the decline in inflation across the country.

The federal government introduced Short Term Savings Certificates (STSCs) in 2012 to cater to the short-term funding needs of investors. These certificates offer maturity options of three months, six months, and one year.

The program is accessible to both Pakistani nationals and Overseas Pakistanis, allowing investments starting from a minimum of Rs10,000 with no upper limit. Investors also have the flexibility to pledge these Short Term Savings Certificates as security.

Short Term Savings Certificates rates for January 2025:

Under the revised rates, the profit for a three-month maturity certificate has been set at 12.76 percent, yielding Rs3,190 on an investment of Rs100,000, compared to the previous rate of 14.32 percent, which yielded Rs3,580.

For six-month maturity certificates, the new profit rate is still 12.74 percent, amounting to Rs6,370 for every Rs100,000 invested, a decrease from the earlier rate of 13.46 percent, which provided Rs6,730. The one-year maturity certificates now offer a profit rate of 12.38 percent, resulting in a return of Rs12,380 on the same investment amount.