Sale of savings tools records rise

The net sales of public savings certificates rose by nearly 22 times in the first half of the current fiscal compared to the corresponding period of last FY due mainly to poor withdrawal of investment by savers, officials said.
The Directorate of National Savings (DNS) data showed that the net sales of government savings instruments hit Tk 38.57 billion during the July-December period of FY 2013-14, Tk 1.77 billion up form that of the matching period of FY 2012-13.
A DNS official attributed such lower encashment of investment tools in recent months to a declining trend in their maturity.
Most of the three-year savings instruments matured in the last fiscal year. Other schemes including the five-year savings tools will mature next year, he added.
Auto reinvestment facility is another cause behind such development, he said.
Though the net sales went up significantly, the overall sales did not increase during the period as the government savings tools cannot attract the savers till now.
As per the DNS data, the gross sales of savings certificates stood at Tk 104.58 billion in the six months of FY 2013-14 which was Tk 115.58 billion in 2012-13.
The directorate introduced auto reinvestment facility for savers of 'Five-Year Bangladesh Savings Certificate' and 'Three-Year Post Office Certificate' in March last year, which has a great impact on the people.
Under this facility people are not forced to withdraw their savings now after the maturity period. Day by day the facility is getting popular among the savers and the number of encashment is also coming down, said a DNS official.
The finance ministry has fixed its target of net borrowing from savings tools at Tk 49.71 billion for the FY 2013-14.