August 16, 2022 (MLN): Rafah National Savings (Islamic Wing of Central Directorate of National Savings, CDNS) (RNS) will be formally offering the approved Shariah-compliant products namely Sarwa Islamic Savings Account (SISA) and Sarwa Islamic Term Account (SITA) to the public very shortly.
The first Shariah Board meeting of RNS approved the structure of RNS along with two Shariah-compliant products.
To note, SISA will have no tenor while SITA will include four investment tenor options of 1 year, 3 years, 5 years and 10 years.
At first, three and five-year SITA will be offered.
The expected annual rate of return payable on the deposits made in SISA will be 13.50% while profits payable on the deposits made in Sarwa Islamic Term Account (SITA) with a maturity of five years will be 12.60%, and 13.28% on three-year SITA, according to sources in the finance ministry.
The products comply with the Sarwa Islamic Savings Account Rules 2019, which had already been approved by the Federal Cabinet.
In a meeting held on Friday, the esteemed Shariah Board members of RNS comprising of r. Muhammad Imran Ashraf Usmani (Chairman), Mufti Irshad Ahmad Ijaz, Mufti Muhammad Hassaan Kaleem and Mian Muhammad Nazir decided that the underlying Shariah Structure under the approved Sharia products to be offered by RNS is on the basis of the Islamic principles of Wakalah Bil Istithmar (Investment Agency) where-under RNS will channel the proceeds raised from the general public (investors) and appoint the Government of Pakistan (acting through Ministry of Finance) for collection and investment of funds in Shariah approved Musharakah Assets Portfolio to be managed by Ministry of Finance as an investment agent.
Director General, CDNS, Hamid Raza Khalid and CEO, Dubai Islamic Bank Pakistan, Junaid Ahmed also attended the meeting on special invitation.
