They believe high yields on national savings certificates (NSCs)are encouraging a large number of small investors and pushing up the government's debt burden. According to the latest data of the Directorate of National Savings Certificates,the net sales of savings certificates increased to Tk21,661.93 crore in July-November of FY19, against Tk21,172.07 crore in the same period of FY18. According to data, in July-November of FY19, savings certificate sales increased 2.31% or Tk489.86 crore, in comparison with that of the same period of the previous year. In contrast, the interest rate on savings certificates ranged from 11.04% to 11.76%. The government’s net borrowing from the savings certificates was Tk46,530.30 crore in2017-2018,against its revised target of Tk44,000 crore for the fiscal year.

Source: Dhaka Tribune January 13, 2019 17:37 UTC