People are increasingly choosing to buy saving instruments instead of depositing their money in banks or investing in stock markets. The profit rates of saving instruments currently range from 11.04% to 11.70%. The CDMC has identified three causes behind the rise in demand of the saving instruments: the reduction of banks’ fixed deposit rate, the people’s reluctance to invest in stocks and reduction of tax of saving instruments. After receiving the recommendations from the committee, “we will take decision about profit rate of the saving instruments,” he said. Akram Khan, a small stock investor, thinks the government’s move “to reduce profit rates” of saving instruments will not work.

Source: Dhaka Tribune January 14, 2017 18:20 UTC