National Savings cuts profit rate for Defence Certificates – September 2025

The Central Directorate of National Savings has once again reduced the profit rates on its different savings schemes. The new rates took effect on September 17, with a reduction of up to 42 basis points.

Defence Savings Certificates

Among the affected schemes are the Defence Savings Certificates. These certificates are designed to help people—whether in Pakistan or abroad—grow their savings. They are available in many denominations such as Rs. 500, Rs. 1,000, Rs. 5,000, Rs. 10,000, Rs. 50,000, Rs. 100,000, Rs. 500,000, and Rs. 1,000,000.

The scheme is open to all Pakistani adults, overseas Pakistanis, NICOP/POC holders, and even minors (with a guardian or in joint accounts). Certificates can be purchased through National Savings Centres, scheduled bank branches, and the State Bank of Pakistan.

New Profit Rate

From September 17, the profit rate on Defence Savings Certificates has been revised to 11.42%, down from 11.54%. For example, an investment of Rs. 100,000 will give the following returns over ten years:

• 1st Year: Rs. 109,000

• 2nd Year: Rs. 119,000

• 3rd Year: Rs. 130,000

• 4th Year: Rs. 143,000

• 5th Year: Rs. 158,000

• 6th Year: Rs. 177,000

• 7th Year: Rs. 200,000

• 8th Year: Rs. 227,000

• 9th Year: Rs. 258,000

• 10th Year: Rs. 295,000

Tax on Profits

Profits earned are subject to tax and Zakat deductions as per State Bank policy. The withholding tax rate is 15% for filers and 35% for non-filers.

Other Schemes

The directorate has also lowered rates for other products:

• Short-Term Savings Certificates: 10.42%

• Serwa Islamic Saving Account: 9.92%

• Serwa Islamic Term Account: 9.92%

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