No cut in yield rates on savings tools: NBR chief

FE Report
National Board of Revenue (NBR) Chairman Mosharraf Hossain Bhuiyan said the government has no plan to reduce the yield rates on state-owned savings certificates.
"We will try to keep unchanged the existing rates of yield on government's savings instruments to consider the interests of small savers," he said on Saturday while speaking at the inaugural ceremony of 'Savings Week-2018'.
His assurance came after small savers urged the government not to reduce the rates of interest on national savings tools. Investors also sought to ensure proper services during investment or encashment of their savings tools at respective outlets.
Under the theme 'Cholo Sobai Sanchoy Kori, Digital Bangladesh Gorai Shohayota Kori', 'Savings Week-2018' was launched at the National Sports Council (NSC) in the city on the day.
Director General of Department of National Savings Shamsunnahar Begum was present, among others, at the programme.
Although the government is making a higher amount of interest payment on savings tools, such schemes are continuing to give priority on small savers' benefits, said Mr Bhuiyan, also senior secretary of Internal Resources Division (IRD).
"State-run savings schemes are non-profitable for the government, but it is necessary for the people including women, elderly and physically challenged people," he added.
According to him, now the government's cumulative liabilities have stood at Tk 1.93 trillion on savings instruments against 20 million investors.
Economists and relevant stakeholders many times suggested reducing the rates of yield on savings instruments, but the government did not take such a decision as public interests are involved with it, he said.
The rate of yield is the highest on savings certificates among other deposits schemes in the country. So, sales of these certificates have increased significantly.
Gross sales of savings tools have stood at Tk 550.00 billion in the last eight months of the fiscal year (FY) 2017-18 against the total fiscal target of Tk 600.00 billion.
The NBR chairman said although the government gets only 5.0 per cent source tax on savings certificates, revenue collection stood at Tk 6.24 billion in the eight months of FY 2017-18.
The amount of revenue is expected to be more than Tk 10.00 billion on savings tools at the end of the year, he added.
Savings Week will continue until April 13 with a view to building savings attitude among the people.
Different programmes including awareness campaign and stakeholders' view-exchange meeting will be held on the occasion.
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