National Savings (Pakistan)

The Central Directorate of National Savings is the state-owned savings bank of Pakistan. It operates as an attached department of the Finance Division, Ministry of Finance and is headed by Director General. Historically, the operations of National Savings have been geared towards obtaining funds from individual savers in Pakistan in order to provide non-bank financing to the government's fiscal deficit. Towards this aim, the organisation offers savings products with competitive interest rates, along with a 100% guarantee from the government treasury on all deposits. Lately, National Savings has played a significant role in Financial Inclusion. National Savings is aggressively improving its customer services through digitisation. It has successfully centralised its data and is now about to offer Alternative Delivery Channels for its customers. Profits from National Savings schemes can now be withdrawn through UnionPay ATMs, as National Savings accounts now come with UnionPay debit cards. Account holders no more need to wait in long queues to obtain monthly profit.

History
The history of the National Savings Organisation in Pakistan dates back to the British Raj when the Government Savings Bank Act, 1873 was promulgated. 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. 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. 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). The present structure of CDNS was set up in early 1972 under the Ministry of Finance.

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. 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.

Finances
The organisation manages investments worth as of FY 2018-19; 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. The organisation sets the rate of interests based on the borrowing cost of government against wholesale debt instruments (Treasury Bills, Pakistan Investment Bonds).

Operations
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. Under these regional directorates, there are 376 branches of National Savings Centres across the country.

Investment
Total investment in National Savings amounts to Rs3.4 trillion.

Products
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. These restricted access products are italicized in the following products list:
 * Prize Bonds
 * Premium Prize Bonds
 * Regular Income Certificates
 * Behbood Savings Certificates
 * Defence Savings Certificates
 * Special Savings Certificates
 * Short Term Savings Certificates
 * Pensioners Benefit Account
 * Shuhadas Family Welfare Account
 * Special Savings Account
 * Savings Account