| National Savings | |
| Former Name: | National Savings Bureau (1873), National Savings Organization (1972) |
| Type: | Government agency |
| Industry: | Financial services |
| Location City: | 23-N, Savings House, G-6 Markaz, Islamabad |
| Location Country: | Pakistan |
| Key People: | Hamid Raza Khalid, Director General |
| Products: | Savings and Investments |
The Central Directorate of National Savings (ur|مرکزی نظامت برائے قومی بچت) is a Pakistani state-owned savings bank, operating as an attached department under the Finance Division, Ministry of Finance led by the Director General.[1] It is based in Melody Market, Islamabad.
National Savings serves as an intermediary which raises funds from individual savers to help finance the government's fiscal deficit through non-bank means.
The history of the National Savings Organisation in Pakistan dates back to the British Raj when the Government Savings Bank Act, 1873 was promulgated.[2] During the First and Second World War, the British government used the then National Savings Bureau (NSB) to raise funds to meet war-related expenses.[3] After Pakistan acquired independence in 1947, the organisation continued to operate as NSB, before being renamed to Central Directorate of National Savings (CDNS) in 1953.[4] In August 1960, the CDNS was given the status of an "Attached Department" of the Ministry of Finance and made responsible for all policy matters and execution of various National Savings Schemes (NSS).[4] The present structure of CDNS was set up in early 1972 under the Ministry of Finance.[5]
In August 2019, the government decided to turn National Savings Organisation from a government agency into a corporation that will run under the government. Relevant legislation in this regard, Pakistan Savings Bill 2019, is prepared and being finalized.[6] The prize bond scheme was launched with a Prize Bond of Rs 100. The scheme has been expanded over time. Today we can find around six Prize Bonds including Rs 100, 200, 750, 1500, 25000 and Rs 40000.
The organisation manages investments worth as of FY 2018-19;[7] an amount that is 25% of the country's net savings - making it the largest financial institution in Pakistan. It has 7 million customers, of which 47% are female, leading it to become the financial institution that is closest to gender parity in the country.[8] The organisation sets the rate of interests based on the borrowing cost of government against wholesale debt instruments (Treasury Bills, Pakistan Investment Bonds).[9]
National Savings organisational structure is based on directorates and branches. The Central Directorate, or headquarters, is located in G-6 Markaz, Islamabad. The organisation's regional directorates are located in Lahore, Gujranwala, Faisalabad, Karachi, Quetta, Hyderabad, Multan, Sukkur, Bahawalpur, Islamabad, Abbottabad, and Peshawar.[10] Under these regional directorates, there are 376 branches of National Savings Centres across the country.
Total investment in National Savings amounts to Rs3.4 trillion.
The organisation offers several savings and investment products; including prize bonds, saving certificates, and saving accounts. Most products are available to resident and non-resident Pakistanis, however, some products have restricted access and require specified criteria to be met before they are offered.[11] These restricted access products are italicized in the following products list: