The government has revised the rates of profit on Sarwa Islamic Term Account (SITA) by up to 228 basis points.
According to an official notification by the Finance Division, the rates of profit on 1-year, 3-year, and 5-year SITA products have been revised upwards with effect from 5 September 2023.
The rate of return on 1-year SITA has gone up by 100 bps to 21.8 percent, the rate of return on 3-year SITA has been increased by 33 bps to 18.33 percent while the rate of return on 5-year SITA has been increased by 228 bps to 15.12 percent.
Product Description Profit Rate (Old) Profit Rate (Revised) Payment
Sarwa Islamic Term Account (SITA) Tenor: 1 year 20.8% 21.8% Profit Payment at Maturity: Rs. 21,800 per Rs. 100,000/-
Sarwa Islamic Term Account (SITA) Tenor: 3 years 18% 18.33% Bi-annual Profit Payment: Rs. 9,165 per Rs. 100,000/-
Sarwa Islamic Term Account (SITA) Tenor: 5 years 12.84% 15.12% Monthly Profit Payment: Rs. 1,260 per Rs. 100,000
The Regional Directors and Inspection Authorities of National Savings are requested to check compliance with the above instructions during their visit to the National Savings Centres, the notification added.
Pertinently, the minimum investment amount is Rs. 50,000. Profit would be paid as per anticipated profit rates based on investment amounts and paid at maturity (for 1 year SITA), half-yearly (for 3 years SITA), or monthly (for 5 years SITA).
Source: Pro Pakistani