The interest rate of the various savings certificates is likely to remain unchanged in the upcoming budget for financial year 2018-19 (FY19).
“The government has no decision to reduce the interest rate on savings certificates in the next budget. We are bringing the certificate owners under a data base since they can’t cross the limit in case of purchasing savings certificates,” Finance Secretary Mohammad Muslim Chowdhury said.
The government’s borrowing through savings certificates is increasing every year. People are buying more savings certificates because of low deposit rates in banks, reports BSS.
Now, the number of various saving certificates holders in the country is around 20 millions.
A senior official of the Department of National Savings said the welfare and wellbeing of the common people, especially the lower middle income people, is a matter of concern for the government as this section of people has little option for investment of their small savings. Savings tools are considered as a better option for investment of these small savers, the official added.
He said the response in various savings schemes is very much encouraging during the July-April period of the current fiscal year (FY18) as savings tools around Tk 660 billion were sold during this period against the fiscal target of about Tk 786 billion.
During the first ten months of the current financial year, the senior official said, net income from savings certificates stood at about Tk 400 billion.
He informed that the Department of National Savings has been conducting its operations through some 2,553 outlets across the country and there is no such complain from the beneficiaries of the savings tools in getting their interests.
Among the different savings tools, he said, the department is providing 11.28 per cent against the five-year savings certificate, 11.04 per cent against the three-year savings scheme, 11.52 per cent against the five-year family savings certificate and 11.76 per cent interest against the pensioners savings scheme while 12 per cent interest against the wage earners development bond for the non-resident Bangladeshis.