Directorate of National Savings Declares 111 Centers Inefficient and Financially Unsustainable; Relocation or Merger Proposed
ISLAMABAD: The Directorate of National Savings has announced 111 NS centres in the country as inefficient and financially unsustainable due to failure to meet the operational cost guidelines.
Operating expenses are capped at a strict Rs2,500 per Rs1 million of deposits, according to an official notification, and authorities have suggested that the non-viable branches be completely closed or merged with active branches.
The National Savings Restructuring Directive highlights the following key aspects:
Strict Operational Benchmark: The notification makes clear that the 111 underperforming centres will have to either significantly reduce their costs or increase the volume of their business if their is an operational cost-to-deposit (C2D) requirement.
Relocation Options: Regional directorates are offered the chance to move non-effective branches to places where there is more investment potential in commercial areas, with a comprehensive business and relocation plan to be presented within 15 days of the offer.
Staff Reallocation and Closure Protocol: If a center is permanently shut down, regional offices will need to provide detailed information on all staff deployed in the center as well as their housing and preferred redeployment locations.