ISLAMABAD – The Pakistani government introduced the Defence Savings Certificates (DSCs) decades ago to address the financial needs of long term category investors and provide them with the opportunity to take maximum benefit of their savings.

Lately, the National Savings or Qaumi Bachat Bank announced new profit rate of various investment certificates, incuding DSCs, in May 2024.

The profit rate on Defence Savings Certificates was fixed at 14.39 percent and it is still applicable as it has not been revises since May 2024.

Both Pakistani nationals and overseas Pakistanis can invest in the Defence Savings Certificates. These certificates have a maturity period of 10 years and come in denominations of 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.

Defence Savings Certificates Profit Rate From August 2024

The profit rate for Defence Savings Certificates stands at 14.39% for the month of August. Following is the profit schedule:

Payable Amount (Principal + Profit ) On Investment of Every Rs.100,000

First year            Rs112,000

2 Years                Rs125,000

3 years                Rs139,000

4 years                Rs155,000

5 Years                Rs175,000

6 Years                Rs200,000

7 Years                Rs230,000

8 Years                 Rs265,000

9 Years                 Rs308,000

10 Years               Rs363,000

Defence Savings Certificates Tax/Zakat Deduction

The taxes and Zakat are deducted on the profits in line with the policy of the State Bank of Pakistan.

The withholding tax for filers has been fixed at 15 percent while it is 30 percent for non-fielders.