Economy Desk: The sale of savings bonds has decreased due to various reasons. As a result, new investment is not increasing at the same rate at which previously purchased savings bonds are being redeemed at maturity. Due to this, investment in savings accounts has not increased in six months, i.e., negative growth has been observed. According to the latest updated report of the Directorate of National Savings, in the first six months (July–December) of the current fiscal year 2022–23, the amount of savings bonds sold has not been able to pay the interest and principal of the savings bonds invested earlier by the customers. 3000 crores, on the other hand, have been paid.
Analysts say that the sale of savings bonds has collapsed due to various restrictions. Investment limits have been determined. So at the end of the term, many people are not able to invest again. Besides, the common people are not getting much profit due to high inflation. This is also a major reason for the decline in sales of savings bonds.
According to the data, a total of Tk 5 thousand, 542 crore, or 37 lakh savings bonds were sold in the month of December. Profit and principal paid amount to 7,000 33 crores 31 lakhs.As a result, the net sales amount has gone to negative 1 thousand 490 crore (94 lakh taka). In addition, in the first six months of the current fiscal year, savings bonds worth Tk 40,471,680,000 have been sold. Against this, 43 thousand, 578 crores, or 68 lakhs, have been paid in profit and principal. In total, the government has paid 3 thousand 107 crore rupees more than the six-month investment.What is left over after paying the interest and principal on the savings bonds sold earlier is called the “net sale.” That money is deposited in the government’s treasury. For this reason, the net sale of savings bonds is considered a “loan” or “borrowing” by the government.
The submission of a certificate of return has been made mandatory in case of an investment in savings bonds of more than 5 lakh rupees in the current financial year. Earlier, on September 21, last year, the government reduced the interest rate on all types of savings certificates by 2 percent for investments of more than 15 lakh rupees. Earlier in December 2020, the savings bank investment limit was reduced. Besides, the rate of withholding tax on profits has been increased from 5 percent to 10 percent as of July 1, 2019. Due to the effect of these restrictions, the sale of savings certificates has decreased a lot.
Currently, there are four types of savings certificates. The interest rate on a five-year family savings bond is 11.52 percent; on a five-year pensioner savings bond, it is 11.76 percent; on a five-year profit-based savings bond, it is 11.28 percent; and on a three-year and three-month profit-based savings bond, it is 11.4 percent. Even though the interest rate on savings bonds has been reduced in several rounds, it is still higher than that of banks. It should be noted that the government has set a target of borrowing 35 thousand crores of rupees from savings certificates in the current fiscal year of 2022–23.
