Defence Savings Certificates: Quami Bachat Bank updated profit rates after budget

• Defence Savings Certificates offer 14.39% annual profit.
• 10-year investment term.
• Taxes apply on profits.

The Pakistani government introduced the Defence Savings Certificates (DSCs) decades ago to meet the financial needs of long-term investors, offering them significant benefits on their savings.

Recently, the National Savings or Qaumi Bachat Bank announced new profit rates for various investment certificates, including DSCs, in May 2024.

The profit rate for DSCs was set at 14.39 percent and remains unchanged since May 2024.

Both Pakistani nationals and overseas Pakistanis can invest in DSCs, which have a maturity period of 10 years and are available 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.

DSCs Profit Rate From August 2024

The profit rate for DSCs is 14.39% for August. Below is the profit schedule:

Years	Payable Amount (Principal + Profit) on Investment of Rs.100,000
1	Rs.112,000
2	Rs.125,000
3	Rs.139,000
4	Rs.155,000
5	Rs.175,000
6	Rs.200,000
7	Rs.230,000
8	Rs.265,000
9	Rs.308,000
10	Rs.363,000

DSCs Tax/Zakat Deduction

Taxes and Zakat are deducted from profits according to the policy of the State Bank of Pakistan.

The withholding tax rate is 15 percent for filers and 30 percent for non-filers.

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