SBP Extends Deadline for National Prize Bonds Redemption

The State Bank of Pakistan (SBP) has extended the deadline for redeeming National Prize Bonds (NPBs) to December 31, 2024, allowing bondholders to encash, replace, or convert their existing bonds. This marks the fourth extension granted by the SBP since the bonds were withdrawn from circulation in 2021. The move aims to improve financial regulations and enhance transparency.

The SBP issued reminders to the public to redeem their bonds of denominations Rs40,000, Rs25,000, Rs15,000, and Rs7,500 by the stipulated deadline. Bondholders have the option to redeem their bonds by encashment, replacement, or transfer of funds to their bank accounts at SBP Banking Services Corporation offices or commercial banks. This flexibility is intended to make the process simpler and more convenient for those concerned.

The decision to withdraw National Prize Bonds from circulation was taken to improve compliance with financial regulations and enhance transparency. By extending the deadline, the SBP aims to give bondholders sufficient time to redeem their bonds and complete the necessary formalities. After the deadline, requests for redemption will be declined, and bondholders are advised to act before the cutoff date to avoid losing their opportunity to redeem their bonds.

It is essential for bondholders to be aware of the deadline and take suitable action to redeem their NPBs. They can visit any commercial bank branch or the State Bank's head office to complete the required formalities. The State Bank of Pakistan encourages bondholders to settle their NPBs by December 31, 2024, to avoid any inconvenience and ensure a smooth transition to automated banking systems.