SBP raises profit rate on saving accounts

Following a 150 basis points hike in the benchmark policy rate, the State Bank of Pakistan (SBP) on Monday raised the profit rate on savings accounts by 1.5% to 7.25%.

The central bank announced the new regulation on its official Twitter handle and stated: “As a result of the SBP policy rate increase announced on Friday and as per SBP regulation for bank customers, the profit rate on your savings account should rise by 1.5% to a minimum profit rate of 7.25%.”

The newly set profit rate will be applicable from December 1, 2021.

The decision is in line with the central bank’s aim to document the economy of Pakistan and to benefit the masses.

In a series of tweets, the central bank also urged the depositors to ensure they avail the benefits provided to them by the SBP.

“If your bank gives you lesser profit on your savings account, please file a complaint with your bank and if not resolved please contact SBP customer complaints,” it added.

Moreover, in order to motivate people to open saving accounts, the central bank has made it mandatory for banks to provide the option to open bank accounts digitally with remote biometric and without the need for a customer to visit a bank branch from January 2022.