A study on the National Savings Department Essay


The history of the NATIONAL SAVING DEPARTMENT dates back to the 2nd world-war, when British authorities introduced several devices to roll up financess to run into the war demands. After independency the NATIONAL SAVINGS ORGANIZATIONS an affiliated section of the ministry of finance, Government of

Pakistan was responsible for the policy affairs, promotion and the executing of assorted nest eggs strategies. Till 1971, the activities of the NATIONAL SAVINGS DEPARTMENT were simply promotional in nature, whereas the station offices and the commercial Bankss were the operative agent for the investing intents. From 1972, NATIONAL SAVINGS DEPARTMENT is engaged in the operation of assorted national economy strategies through its ain subdivisions, called “ NATIONAL SAVINGS CENTERS ” . As shortly on may 1999, there were 366 subdivisions in the state, provides sole to our investor, which was other wise non possible through station offices and the commercial Bankss.

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The history of National Savings Organization dates back to the twelvemonth 1873 when the Government Savings Bank Act, 1873 was promulgated. During the first universe war, the British Government introduced several strategies to roll up financess to run into the outgo. It was in the context that the station office hard currency certifications and during the 2nd universe war, station office Defence Saving Certificates were floated. The demand to put up a separate bureau was felt and the National Savings Bureau was estaboished in 1943-1944 as an affiliated section of the ministry of finance of the undevided Government of India. The section was headed by National Savings Commissioner with the position of the joint secretary.

At the clip the chief map of the National Savings were to originate all policy affairs and issue directives for the executing of policy determination of the Central Government, and to reexamine the nest eggs strategies from clip to clip. Gradually, Savings Organizations were established in about all the states of the sub-continent with the aim of popularising the salvaging strategies among the multitudes every bit good as to oversee usher and command the working of authorised agents under their legal power. The agents, who were appointed by the local governments, were paid committee @ 2 A? on the investing secured by them. These authorised agents were in those yearss the lone bureau for procuring investing in footings of Salvaging Certificates from the general populace. In nut shell the cardinal bureau via. National Savings Bureau, Siilma, was chiefly concerned with the policy and the planning affairs of the Savings Schemes vested with provincial governments.

At the clip of independency there was no clip for any kind of invention in the field of invention. Thus an organisation with the name of “ Pakistan Savings Central Bureau ” was created and the Saving work was entrusted to it by the Government of Pakistan, but this Bureau had its ain distinctive features. The Pakistan Savings Central Bureau had no independent entity and was nou given the same position as enjoyed by Savings Bureau, Simla. The caput of the Pakistan Savings Central Bureau was so called Central National Savings Officer, a junior officer of the ministry of finance with the position of an under secretary to the Government of Pakistan. He was assisted by a Superintendent holding some subsidiary staff.

In 1953, the Pakistan Savings Control Bureau was re-named as Cardinal Directorate of National Savings and it carried out the maps on the lines of National Savings Bureau Simla but as a portion and package of the finance division, Central Directorate of the National Savings was merely responsible for promotion, and the operative agents were the provincial Governments every bit good as Pakistan station offices. However, the full outgo in this respect was borne by the cardinal Government. Such an agreement created a big figure of administrative troubles and stunted the growing of nest eggs.

In position of these troubles the cardinal Directorate of National nest eggs was given the position of an affiliated Department in September. 1960, and was made responsible for all policy affairs and executing of assorted National Savings Schemes. Subsequently, it was besides declared a proficient Department by the Government. The Director General, National Savings ( BPS-20 ) now enjoys full power of the caput of the section. Till December, 1971, National Savings Organization maps as a promotion organisation and its activities were simply promotional in nature, spot in early,1972, the range of its activities was enlarged as the Central Directorate started selling 2-rupee award bonds, and later engaged in the operations of other nest eggs strategies.

This resulted in considerable enlargement of the National Savings Organization. At present, this organisation has a entire canonic strength of 3365 employees in assorted classs and its chief component units are as under: –

Cardinal Directorate of National Savings, Islamabad

Directorate of review and Histories, Islamabad

Training Institute of National Savings Islamabad along with sub developing institute at Karachi

12 Regional Directorates ( Located at Peshawar, Abbottavad, Rawalpindi, Gujranwala, Lahore, Faisalabad, Multan, Bahawalpur, Sukkhar, Hyderabad, Karache, Quetta )

366 National Savings Centers scattered all over the state


A economy section existed in our portion of south Asia prior to outgrowth of independent province of Pakistan in 1947. the history of the British Government introduced several devices to roll up financess to run into war demands. In 1960, Central Directorate of National Savings was made on affiliated section of the ministry of finance and assigned to aids in policy formation and execution in order to advance domestic nest eggs.

Till 1971 the activities of the National Savings Department usage largely promotional net wise promotion and executing of assorted nest eggs strategies. The nest eggs instrument drawn to pull domestic nest eggs usage operated through agents, i.e. station offices and Bankss. It was nevertheless in the fiscal twelvemonth 1972-1973 that the cardinal board of directorss of national nest eggs ( C.D.N.S ) embarked upon selling the nest eggs instruments straight through it are freshly established with work of national nest eggs centres through out the state. As on May 1999 these use 366 subdivisions in the state supplying sole services to our investors. ( 12 regional managers – 13 hoarded wealths 7 ZIAO )


Budgetary support to the Pakistan

Control rising prices

Raise criterion of life og the people

Raise criterion of liner of the people

To do the payments of domestic & A ; foreign loans


National Savings is attached to ministry of finance. In national nest eggs 12 regional board of directorss and 367 national nest eggs centres. In national nest eggs developing institute is situated at Islamabad and sub-training institute is situated at Karachi. The investing is more save when we compared to all Bankss.

The mark of National Savings in twelvemonth 2001 to 2002 is 20 seven thousand three hundred 1000000s. But revised mark is 36 1000 seven 1000000s. This mark is completed for one tear gut national nest eggs is completed before two month.

The national nest eggs all investings ( money ) give authoritiess. The work of national nest eggs merely for sale the strategies ( rate of involvement more type of strategies ) . All strategies ( certifications ) can be easy converted in to liquidness. All certifications are easy movable one metropolis to another metropolis ( every thing is same benefit is same, certifications it without any charges ) .

Certificates AGAINST Money

Sets easy give a loan against through pledge of these certifications zakat and revenue enhancement including this. If the investing of investor is more than 150000 than 10 % is deducted on net income as with keeping revenue enhancement. If these certifications are misplaced may fire or stolen so extra of certification issued which have no consequence on net income. The procedure of issue of duplicate transcript takes at least one month. National nest eggs offer nine strategies

Defense salvaging certifications

particular salvaging certifications

Regular income certifications

Bahbood nest eggs certifications

Savingss histories

Pensioner.s benefit history

Mahanna amadni history

Particular salvaging history

National award bonds

The national nest eggs organisation is represented by cardinal board of directors of national nest eggs which is attached with the section of the ministry of finance, Its maps are as under: –

To publicise the National Savings strategies

To wipe up up the saved sums through its field web of 367 national nest eggs centres

To maintain affair with the other merchandising bureaus i.e. Pakistan station offices and the sets

To help the ministry of finance in policy formation

the cardinal board of directors of national nest eggs is headed by manager general who is responsible for the public presentation of 12 field board of directorss and commanding 367 national nest eggs centre, one board of directors of review and histories holding 7 zonary review, histories. 12 regional histories offices. 2 developing institutes of national nest eggs at Islamabad and Karachi.


Peshawar & A ; Abotabad ( ZIAO ) Rawalpindi

Rawalpindi ( ZIAO ) Rawalpindi

Gujranwala & A ; faisalabad Gujranwala

Lahore Lahore

Multan & A ; Bahawalpur Multan

Sukkhar. Hyderabad & A ; quetta Hyderabad

Karachi Karachi

Activities of NSC, S

Certificates Histories Prizebonds


SSC ( R ) MMA Rs.750


BSC RS.7500



Aims of national


Aims of National Savings

Following are the intents of the National Savings. Now. It is seeking hard for achievement of this intent for which it was formed, the major intent are: –

aggregation of little nest eggs

The chief and basic intent of national nest eggs is to roll up the little sums of nest eggs from lower category & A ; in-between category of the society of Pakistan. Because the sums of nest eggs in this section of people are really low so they frequently try to avoid the investing O this sum. National nest eggs premier intent is to make assurance among these people and roll up their little nest eggs through its nest eggs strategies.

1. Mobilization of idle nest eggs

Mobilization of idle nest eggs is necessary for the economic development of ant state. So Pakistan is seeking to make so through National Savings, as said earlier, and to reinvest them in the needed or coveted segment/sector of economic system.

Motivation towards salvaging

The aim or national nest eggs is to make motive towards nest eggs among people of Pakistan. Now it is seeking good for this nonsubjective. Peoples are concentrating toward the strategies of national nest eggs. National nest eggs besides launched many strategies for the attainment of this intent like award bonds, certifications etc.

Provide aid to SBP

The other aim is to supply aid to province set of Pakistan in-controlling the measure of money in the state. Because, say in inflationary conditions SBP has to establish securities and it feels eifficuoties to make so in the absence of national nest eggs.

Constitution of a Savings Band

The last aim is to set up the nest eggs bank in the state which has performed all salvaging map, no uncertainty other commercial Bankss were making and seeking their best to move as nest eggs band but the velocity of promotion was non satisfactory and people were non sing them.

Departments OF



There are assorted sections ( subdivisions ) of the organisation, which are executing occupation in their several field.

Administration subdivision or human resource direction.

Scheme enunciation

Treasury subdivision

Pulling and disbursement subdivision

Promotion subdivision

There is besides a separate independent section of national nest eggs

Regional histories office

There are assorted subdivisions of national nest eggs, executing theur activities associating to their demands.


Administration subdivision National Savings Officer

Scheme Section National Savings Officer Drawing and disbursement National Savings Officer

Publicity & A ; store subdivision National Savings Officer

RAO subdivision National Savings Officer





Human resource direction is the great plus for ant organisation. This is off balance sheet cherished plus. The personal of ant organisation are the pillars of the success of that organisation. The importance of human resource direction keeps of import topographic point in the fiscal establishment like Bankss and salvaging centres because these establishments requires great trade of expertness from its employees. National nest eggs is the of import fiscal establishment under Govt. control. Due to its importance it requires high category personal.

Under this subject, we will discourse the process of pull offing the human resources in national nest eggs. In inside informations for the treatment of all facet, we have classified this under following such headers

Employee STATUS




Employees LEAVE






Now all the subjects will be discussed in brief but in comprehensive manner

Employees position

All these are civil retainers. Civil retainer act 1973, an act to modulate the assignment of individual do. And the footings and conditions of services of individuals in the service of Pakestan. ( All cardinal Govt employees ) apply this act.

Employees discipline

Behavior regulations 1964, civil employees are bound to Govt, behavior regulations. When ant employ inefficient regulation may be involve corruptness.

Efficiency and Disciplinary Rule 1973

In this regulation more protection for employees. In the new regulation 2000, remotion from services ( particular power ) when ant individual misconduct inefficiency, corruptness.


Charge sheet 15 yearss one inquiry officer or inquiry commission. The corrupt individual replies all these inquiries in written, in unwritten. Than any inquiry officer 30 yearss a study give authorization ( places naming authorization )

Minor punishment

Censure mean, merely through warning.

With retention, for a specific period, publicity or increases

Stopped for a specified period, at any efficiency saloon in the clip graduated table, otherwise than for unfitness, to traverse such far.

Recovery from wage of the whole or any portion of any monetary loss cause to Govt by carelessness or staff of life of orders.

Major punishment

Decrease to a lower station or clip graduated table, or to a lower phase.

Compulsory retirement

Removal from service. ( May be working other Govt. establishments )

Dismissal from service. ( Not work any Govt. institute )

Appeal ( concluding determination ) 30 yearss appellate authorization acquires appeal to higher and competent authorization than determination appellate authorization if non satisfy than Government service court if non travel clip period than no entreaty. If non satisfied this determination entreaty goes to Supreme Court.

Employ foliages

Calendar twelvemonth 20 casually holiday every vacation can non be claimed as a affair of authorization.


One twelvemonth earned than 48 foliages ( A/C maintained )

Detailss of different centres

Entire centres = 21

NSC 1 Ahmed pur ( East )

NSC 2 Bahawal Nagar

NSC 3 Round Road Bahawalpur

NSC 4 Commercial Area Branch Bahawalpur

NSC 5 Chishtian

NSC 6 Dhahran wala

NSC 7 Fortabas

NSC 8 Haroonabad

NSC 9 Hasilpur

NSC10 Khanpur

NSC11 Kahrorpacca

NSC12 Khairpur Tamawali

NSC13 Lodhran

NSC14 Liaquatpur

NSC15 Malsee

NSC16 Minchanabad

NSC17 Model Town Bahawalpur

NSC18 Rahim Yar Khan

NSC19 Sadiqabad

NSC20 Welcome chowk railroad read Bahawalpur

NSC21 Yazman


Recruitment is really of import measure in the H.R direction in the fiscal establishment like National Savings. It requires a great trade of experience National Savings was following two methods for enlisting of employees up to last twelvemonth.

How Recruitment is performed


Direct enlisting no publicity and making required is at least primary base on balls. Whose people are related to retire Army, Police, and any security section prefer these individuals.

Machine operator

Direct enlisting


Direct enlisting but driving licence is necessary

Lower division clerk ( L.D.C )

Qualification required is at least metric and typing velocity is 25 per second. The maximal age of individual is 25 old ages. 10 % publicity quota for gunslinger and 90 % direct enlisting.

Upper division clerk

Qualification required is at least intermediate but typing is non necessary. 50 % publicity quota for ( L.D.C ) and 50 % direct enlisting.

Deputy National Savings Officer

No enlisting, 100 % publicity quota.

National Savings Officer Grade 16

50 % quota of ( D.N.S ) , and 50 % direct enlisting, making required is at least M.A Economics, Statistics, commercialism, ( 2nd division at least ) through PSC ( Public Service Commission ) .

Assistant Director

50 % modesty for publicity and 50 % direct enlisting through ( PSC ) , the making required is at least M.A economic sciences, statistics, commercialism, ( First division )

Joint manager

100 % publicity quota.


When age of any of individual is completed 60 old ages so this individual is retired from the occupation. But if any individual wants retirement before 60 old ages he can take retirement. If ant individual ‘s service is completed for 25 old ages he wants to be voluntarily retired they request the establishment and easy acquire the retirement.

During occupation a individual may be function ill/accident on the footing of medical land they easy get the retirement ( no age bound in this state of affairs ) . If the Government service is completed for 10 old ages so the individual avail all installations but if the Govr service are non completed for 10 old ages than the individual is non elliganl to avail all installations. We can cipher the pension by this expression

Pension = last wage down*lengeh of the service*7/300

Length of service=date of fall ining years-date of retirement old ages.

Then the reply is the gross pension.

Pension = half the gross pension*12*commutation factor

Suuppose the gross pension is 9000 so we calculate the net pension



Training is the procedure of the polish of abilities of the employee. National Savings uses two methods of preparation for its employees so that they can confront the challenges of modern techniques. These methods are:

Initial Training

Path Training

Initial Training

This method of preparation is used for those employees who are straight recruited in the office of the National Savings. So after choice, they are given preparation in the preparation centre. National nest egg has developing institute in Islamabad and a sub preparation institute in Karachi.

Everyday preparation

This type of preparation is given to employed workers who are already working in national nest eggs. National nest eggs offers two sorts of this preparation:

Training in Pakistan includes the preparation through regular classs, refresher classs that are of short term in nature in the preparation institute at Islamabad.

The board of directors of national nest eggs besides arranges preparation in abroad.


For the rating of the employees, a board of directors of review and histories is established in national nest eggs. This board of directors is situated in Islamabad and works 7 zonary reviews offices and 12 regional history office. These zonary and regional audit offices arranges for the surprise visit of internal hearers. These hearers check the subdivision working, public presentation subdivision working place is the mirror of working abilities of its employees/worker. The publicity is widely based upon the on the job efficiency of the workers. The worker who is more efficient in his occupation gets promotion consequently. The employees get publicities, , furthermore, choice classs harmonizing to their public presentation.

Incentives for Motivation

No uncertainty, National nest eggs is the Govt establishment it has to follow the fiscal regulations and ordinances of Govt. sing fiscal compensation but for the motive of it employees, it is giving inducements like money wagess to them along with the wage bundle harmonizing to their public presentation.

SCHEME Section

SCHEME Section

Scheme subdivision is divided in to two sub subdivision.

Professional histories

Aannotation accounts/audit and review histories

All the 21 centres send their monthly summarized histories to the strategy subdivision, so after having from centres the part direct all these histories to cardinal board of directors after confirmation.

Professional histories

In professional histories foremost of all every work done in centre than given a monthly study and a summarized study, attached different paperss at the day of the month of 30 to 31 and than direct to the board of directors and farther procedures occur in this subdivision. This subdivision complies this study and read every history and of all time y thing than look into all histories are same ( lucifer ) and all figures than this study is sent to cardinal board of directorss.

In professional histories following studies are maintained

NS-9A Daily Report

NS-7 Consolidated statement

NS-10 Consolidated monthly histories

Annotation Accounts/Audit & A ; Inspection Histories

Daily works in audit and review subdivision is budget readying by board of directors of in subdivision history and than answer to manager general. In audit every thing/every work is checked decently. All work examined decently than histories made and keep and indicate out all abnormalities and errors and so study is send to zonary review histories. In all studies procedure in strategy subdivision, when the day-to-day study is completed at the terminal of every month the progressive balance is taken from this study and so is put in to the consolidated monthly histories ( NS-10 ) so this type of histories are collected by all the centres of one part and so prepared the monthly amalgamate statement, this statement is sent to the cardinal board of directors of national nest eggs, Islamabad.


Treasury subdivision

Function of National Savings Treasury

To have hard currency, cheque utilizations and value bonds from NSCs

To run into hard currency and value bond demand of NSC

To roll up private and Govt checks from NSCs for clearance and sedimentation.

To accept RAO checks for payment.

To remit hard currency and checks for deposit/collection in to province bank of Pakistan.

To publish Govt. checks for pulling hard currency or for payment of 3rd party.

To maintain stock of clean deposit/savings certifications.

Safe detention of valuable paperss or articles under the way of joint manager.

Drawing AND



This subdivision is working merely in the regional board of directors of national nest eggs and is commanding all the centres of the concerned parts like in Bahawalpur part this subdivision is commanding 21 centres and regional office.

All payments such as wage & A ; allowances, T.A, etc. of the officers and staff in the national nest eggs organisation, including contingent outgo are made by the regional histories officer through the several board of directors in whose country the claim arises. This subdivision sanctions the sweeps of all the centres including regional offices. The ministry of finance gives financess to this national nest eggs, so this subdivision distribute the financess to this subdivision through new point statement o one-year footing for the disbursals of national nest eggs, so this subdivision distributes the financess to centres harmonizing to their public presentation. The disbursals may be for the:

Purchase of disposable goods


Machinery & A ; equipment

Furniture and fixtures


Repairs and maintainance of lasting goods and work

Commodities and services

Conveyance of goods ( Freight carting nervelessly charges )

P.O.L charges aeroplane, chopper. Staff autos. Motorcycle, etc.

Conveyance charges



Telegraph, Telephone and Trunk call

Telex and Teleprompter

Courier and pilot service





Hot and cold H2O charges

Office letter paper



Periodicals and books

Uniform and liveries

Rent royalties

Ratess and revenue enhancements

This subdivision is besides covering with the wage measures of the employees of the national nest eggs, assorted allowances are calculated by this subdivision for the employees of the national nest eggs as like house rent allowance, conveyance allowance, costliness allowance, rinsing allowance, overtime allowance, medical charges, remainder and recreational allowances. In add-on to these allowances this subdivision is besides subtracting assorted tax write-offs as like benevolent fund, general provident fund, postal life insurance, income revenue enhancement, trade revenue enhancement, house edifice progress, motor rhythm progress, house rent etc.

This subdivision is covering with disbursals of the office and employees of this section, now we are concerned with the proper manner to give connexion for the measure of disbursals to the employees and offices of this section. All this process is done through assorted kinds of signifiers like T.R 30, T.R 16, T.R 31, T.R 22, T.R 25 & lt ; T.R 20, and pension documents etc. through these kinds of signifiers have assorted caputs of allowances and tax write-offs of wage as like:

T.R 20

This signifier is used to demo the going allowances of the gazette officers.

T.R 25

This signifier is besides used for the going allowances of employees but for non-gazettes.

T.R 22

This signifier is besides used for the non-gazetted employees in this signifier the allowances and tax write-offs are recorded.

T.R 16

This is a wage bol of the gazetted officers and shows all the allowance and tax write-offs.

T.R 31

In this signifier the disbursals of the officers are recorded, the disbursals are taken over by the signifier T.R 30.

Pension documents

This brochure is used to give the tip to employees on the retirement of employees.

This is the separate independent of national nest eggs. This section does chiefly the pre audit.

Promotion AND Shop



In the promotion of strategies bureaus are involved, because national nest eggs are non paying any wages to them. After the promotion schemes the paper proprietor send measure along with tear sheet to concerned advertisement agent. The budget for advertizement is about 15 million, ( Overall promotion ) . Payment for promotion is made by checks.

Government rate for Government establishment

Government commercial rates for Bankss

Government rate for private Bankss

Electronic media

In NSC Govt. rates are applicable. The add clip in PTV is minimal 7 seconds. If in ordinary clip ( any clip ) the the destiny of the advertizement of 7 seconds is about 45000, in fixed clip ( premier clip & A ; specified clip ) its rate becomes 200 % excess and in intelligence clip it becomes 400 % excess. The rate of PTV World is relatively less than PTV.

Procedure for choice of advertizement bureau

Procedure for choice of advertizement is that NSC makes a competition call and administer the strategies to those bureaus for fixing encampment. Then NSC has has to choose runs maintaining in position assorted facets like: –

Short listing

Choice of advertisement bureau

Board of choosing bureau

Repairing of day of the month of concluding choice should name at least 10 bureaus, than these runs will be exhibited, so manager of each bureau will explicate its run for taking fraud the rubric of the bureau will be hidden on run.

More than cognizant bureau can be selected

Transportation or directing to press paper.

Minister ( issue of appointment missive ) .


Budget confirmation ( advertisement, printing charges, local promotion, imperativeness & A ; media ) .

Final blessing from competent authorization.

Choice of newspaper. ( sing vacations ) .

Issue of release order will direct to press information section.

Instruction manuals, about the size of the advertizement, give voicing page is besides given.

PID ( imperativeness information section ) will give a transcript of its blessing to NSC and other.

Ratess are fixed by imperativeness information section.

Procedure of foreign media

External promotion wing, we send our demands, add, page. Size, colour, length, importance is send to external promotion wing ( EPW ) observe that either attention deficit disorder should or non topographic point in our media. ( EPW ) besides check that conditions we have NOC or non or weather we have measure or blessing for indicating.

Regional ACCOUNTS Section

Regional ACCOUNTS Section

Regional histories office:

As the territory accounts office of any territory is executing its occupation for the passing of the measures of the Govt. offices, as like this the ministry of finance has decided to locate histories offices in the national nest eggs for the convenient of the employees of this organisation. So every measure or check of this organisation is send to regional histories office for pre-audit.

Pulling & A ; disbursement subdivision direct all types of measures as like employees pay, house rent allowance, medical allowance for pre-audit and clearance. So in short this office is executing the undermentioned maps.

After departmentalization of histories the claims of pay/allowances, payments of eventualities etc, are being honored / processed by regional histories offices attached with each regional board of directors of national nest eggs in the mode.

Main maps of R.A.O

R.A.O ‘s were established in 1978.

To pay out wage of offices and constitution gazzeted officers grade 16 and above individually submitted.

RAO is merely similar hard currency, .

All monthly outgo statement is prepared by RAO.

All claims presented by RDNS ( DDO ) going allowances, eventualities.

All rapprochement with national nest eggs exchequer.

Reimbursement of medical charges.

The RAO reconciles the sum authorized by him to be drawn from local national nest eggs exchequer on monthly footing.

The remittals into and backdown from Government histories are consolidation by the national nest eggs exchequer under the administrative control of each board of directors.

Every exchequer and every national nest eggs centre has to subject their histories to the several regional board of directors of national nest eggs where the same are consolidated and submitted to the several regional histories office, shere the same are farther consolidated by infixing the figures of outgos and so submitted to the histories general concerned.

All service record of officers is maintained at regional histories office and supply financess histories ( except of grade 1-2 ) are maintained and pension instances are processed by him in regard of all officers and staff.


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