The Government of Pakistan has offered to register Rs: 40000 prize bond before March 31, 2020. The Government gave a nine-month deadline to Rs. 40,000 value prize bonds holders to convert their saving instruments to either cash or in other securities. Following the decision of the Economic Coordination Committee’s (ECC) of the cabinet, the holder of Rs. 40,000 prize bond can benefit from several facilities in registering their bonds, according to a press statement issued by the Finance Ministry.
REGISTER RS: 40,000 PRIZE BOND
But, Economic Coordination Committee has decided that no further prize bond draw of Rs 40,000 would be held, however, all the prize money claims on the already held draws can be claimed within the period of six years from the date of the respective draw, as per National Prize Bonds Rules, 1999.
The move is likely to address concerns of the global watchdogs, which are doubtful about the parking of black money through these bonds. Pakistan is currently on the gray-list of the FATF.
Rs: 40,000 Prize Bond could be converted to Premium Prize Bond (Registered) through 16 field offices of SBP Banking Services Corporation, and authorized branches of six commercial banks i.e. National Bank of Pakistan, United Bank Limited , MCB Bank Limited, Allied Bank Limited, Habib Bank Limited and Bank Alfalah Limited.
In addition, the statement said, Rs. 40000 Prize Bond holder can reward the opportunity to replace the bonds with Defence Saving Certificates (DSC) or Special Saving Certificates (SSC) through the 16 field offices of SBP Banking Services Corporation, authorized commercial banks and National Savings Centres.
The Rs. 40,000 bond is the highest value prize bond, out of total eight denominations, ranging from Rs. 100 to Rs. 40,000. There was Rs. 75-million first prize on the Rs. 40,000 Prize bonds. People have invested over Rs. 950 billion in all types of prize bonds and over one-fourth of the total investments were in the Rs. 40,000 denomination bonds.
Rate of return on DSC and SSC are very attractive, the statement said adding that currently, annual rate of return on DSC is 12.47% whereas annual (average) rate of return on SSC is 11.57%. Moreover, in case the bond holder desires to encash the bond, the encashment proceeds would be credited to the specified bank account of the holder.
In this context, State Bank of Pakistan, as well as all the banks, would extend their maximum support to make sure the transfer of payments to respective account of the holder. The registered bonds are secure and not disposed to forgery and theft. Finance Division has already discontinued the fresh issuance of Rs. 40,000 bearer bonds w.e.f. February 14, 2019.