SBP Caps Minimum Savings Profit Protection at Rs10 Million to Promote InvestPak and Government Securities

The State Bank of Pakistan (SBP) has revised its savings deposit policy by limiting the mandatory minimum profit rate to individual account holders with monthly average balances of up to Rs10 million. Effective August 1, 2026, the move is intended to protect small savers while encouraging larger investors to explore market-based returns through the newly launched InvestPak platform.

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KARACHI: The State Bank of Pakistan (SBP) has announced a significant change to its savings deposit policy by restricting the mandatory minimum rate of return on savings accounts to individual depositors with monthly average balances of up to Rs10 million.

The revised policy will come into effect on August 1, 2026, and is aimed at protecting small savers while creating greater flexibility for larger investors to participate in Pakistan’s government securities market.

SBP Revises Minimum Profit Rate on Savings Deposits

Under the new policy, only natural persons maintaining monthly average balances of up to Rs10 million will continue to receive the minimum profit rate prescribed by the central bank.

The previous framework, introduced through SBP circulars issued in November 2024, applied the mandatory minimum profit requirement to a broader category of depositors.

With the latest revision, banks will continue to offer the regulatory floor rate to qualifying retail customers, while larger individual depositors will no longer receive the automatic minimum return guarantee.

InvestPak Offers Alternative Investment Option

The policy change coincides with the launch of InvestPak, SBP’s new digital platform that enables retail and corporate investors to invest directly in Government of Pakistan securities.

According to the central bank, investors with larger balances now have access to alternative investment opportunities that may offer competitive market-based returns through government securities.

The InvestPak platform has been introduced to simplify investment in sovereign debt instruments while expanding the country’s investor base beyond traditional banking channels.

Policy Aims to Diversify Government Securities Market

SBP said the revision is intended to encourage greater participation in government securities while supporting the development of Pakistan’s capital markets.

By allowing larger depositors to seek market-driven returns through InvestPak, the central bank hopes to diversify ownership of government debt and reduce reliance on conventional bank deposits.

The move is also expected to improve efficiency in Pakistan’s financial system by providing investors with more investment choices.

Small Depositors Continue to Receive Protection

Despite the policy revision, ordinary savers with monthly average balances of up to Rs10 million will continue to benefit from the minimum profit rate on savings deposits.

The central bank said this approach balances consumer protection with broader financial market development by safeguarding smaller depositors while encouraging sophisticated investors to explore alternative investment products.

Banks May Adjust Deposit Pricing Strategies

The revised framework is expected to give banks greater flexibility in designing deposit products for high-value customers.

Financial institutions may introduce customized pricing and investment solutions for larger account holders, while all other banking instructions issued by SBP remain unchanged.

Industry experts believe the latest reforms, together with the launch of InvestPak, will accelerate the digitization of investments and contribute to the growth of Pakistan’s sovereign debt market.