The concept of National Saving Bank of Pakistan was being derived from the year 1873, it was when the Government saving bank Act, 1873 was being implemented. When the World War 1 was being in progress at that time the governments involved in the war started this campaign in which the government collected funds from the people to cope up with the war expense. It was in this context that the Post Office Cash Certificates and, during the Second World War, Post Office Defense Savings Certificates were floated. After the independence of Pakistan immediately an organization was being established with the name of Pakistan Saving Central Bureau, and the government entrusted the organization to carry out the saving work on the behalf of the governmental bodies.
National Saving Bank of Pakistan
Before 1972 the institution was only responsible to make the relevant promotions of the work and the department but soon after it the liabilities of the financial institution was being raised dramatically. The national saving bank of Pakistan is functional for the gathering of the savings of the people in such a manner that they are being paid in terms of profit on their investment in the saving bank. The tenure is being set as per the policies of the bank in which the investor is being paid a larger proportion and percentage if the investment is made for a longer time period.
The National Saving Bank of Pakistan is also involved in several types of schemes which are offered to various people belonging to numerous sectors as well as stages of the life. The functional schemes of national saving bank of Pakistan involve selling of the prize bonds which is the exchange of paper money with the cash. The schemes which are being taken under consideration under the national saving Act of Pakistan involve selling of Prize Bonds, Student Welfare Bond, Bahbood Savings Certificates and Pensioners’ Benefit Account.
The major reason behind the launch of Student Welfare bond was to increase the shift of the youth of the country on the saving rather than expenditure. This will inculcate the thinking of saving, as the charm of profit over the investment will encourage the people to make the savings which will be better for the government as well as the personal bodies. The national saving bank of Pakistan utilizes the saving of the people on the various projects of the government and for the country’s progress while the investor is being paid the profit on his investment. Like this the receiver and the taker of the investment both are being given benefits on long term relationships. At present, National Saving Bank of Pakistan has a total sanctioned strength of 3377 employees in various grades and its main component units.