Karachi, July 5, 2025 – Investment in premium prize bonds has witnessed a robust 20% surge during the 12-month period ending in May 2025, according to the latest data released by the State Bank of Pakistan (SBP).
The total investment in premium prize bonds reached Rs65 billion by the end of May 2025, up from Rs54 billion during the end of same month last year. This notable growth underscores increasing public confidence in secure, registered investment instruments offering both profit and prize incentives.
According to financial market analysts, the sharp increase in premium prize bond investments is largely attributed to the government’s phasing out of bearer prize bonds across various denominations. This transition has pushed investors toward safer, registered alternatives like premium prize bonds, which offer transparent ownership and reliable returns.
Currently, the government offers registered premium prize bonds in two denominations: Rs40,000 and Rs25,000. The Rs40,000 denomination showed the most significant growth, climbing by 22% to Rs39 billion, up from Rs32 billion in the previous year. Meanwhile, investment in Rs25,000 denomination bonds grew by 18%, reaching Rs26 billion from Rs22 billion.
According to the Central Directorate of National Savings (CDNS), premium prize bonds come with several attractive features:
• Profit rate of 1.86% annually.
• Registered in the investor’s name, enhancing security and traceability.
• Denominations of Rs25,000 and Rs40,000.
• Quarterly prize draws and bi-annual profit payouts.
• Open to adult Pakistani citizens and Overseas Pakistanis.
• Direct credit of prize money and profit into investors’ bank accounts.
• No forms required for claiming prize money or profit.
• Top prize amounts of Rs30 million (Rs25,000 bond) and Rs80 million (Rs40,000 bond).
• No investment limit and unrestricted holding period.
• Transferable, pledgeable, and purchasable through various banking instruments.
To invest in premium prize bonds, individuals need to provide a copy of their CNIC, account maintenance certificate (including IBAN), a tax certificate (if filer), and CNIC details of their nominee.
The rising trend suggests growing trust in formal savings instruments, and experts anticipate continued momentum in the premium prize bond segment as investors seek secure yet rewarding avenues.