Dhaka, July 2 -- The government has reduced interest rates on key national savings certificates by up to 57 basis points, effective from 1 July - a move that may increase pressure on middle-income earners and pensioners who rely on them for income.

The Ministry of Finance issued a circular on Monday announcing the new rates for four key savings instruments, namely the family savings scheme.

According to the notification, the five-year Bangladesh savings certificate will now yield 11.83 percent for investments up to Tk 7.5 lakh, down from the previous 12.37 percent.

The interest rate for the three-month profit-bearing savings scheme at maturity will be 11.82 percent, compared to 12.30 percent previously.

The family savings certificate ...