CDNS secures Rs20bn in Islamic Finance in 1QFY24

October 11, 2023 (MLN): The Central Directorate of National Savings (CDNS) has secured Rs20 billion in Islamic Finance in the first quarter of the current Fiscal Year from July 01 to September 30, 2023-24.

The CDNS has set a target of Rs75bn in the Islamic fiscal year 2023-24 to promote the Islamic financial sector in the country, a senior official of CDNS told APP here on Wednesday.

The aim was to introduce new dimensions in the Islamic finance sector, he said.

The official informed that CDNS had reviewed and set a target of Rs60bn in the fiscal year (2022-23) for Islamic investment to introduce the new products in the market.

"Islamic finance has a very important role in the global financial sector at this time, and a large part of the economy of many major countries currently includes Islamic finance," The senior official said, "Work on Islamic finance is still needed in Pakistan."

Replying to a question, he said that at present, work was being done on institutional reforms in CDNS and new reforms and innovations were being introduced.

"At this time Automated Teller Machine (ATM) has also been introduced in CDNS which will provide enough facilities to the users," he added.

Replying to another question, he said, "The CDNS has digitized National Savings Certificates (NSCs) for the convenience of consumers and to modernize the institutional process."

He said the CDNS and Central Depository Company of Pakistan Limited (CDCP) signed an agreement to start a pilot project to digitize and dematerialize the NSCs last week.

According to the official, this would increase investment in National Savings and increase consumers' confidence, adding that the agreement between National Savings and CDCP was a part of the automation and digitization of the institution.

He said the CDNS has digitized National Savings Certificates (NSCs) for the convenience of consumers and to modernize the institutional process.

Replying to another question, he said the Central Directorate of National Savings (CDNS) has achieved a target of Rs400bn in fresh bonds in the current fiscal year, from July 01 to September 30.

To note, the CDNS surpassed the annual target and achieved the target of Rs1.6 trillion in fresh bonds in the last fiscal year 202-23.

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