Why the CED?

The other day I went to my bank and asked for a locker. I was given three options: A security deposit of Rs40,000 and no rent, a key deposit of Rs4000 plus yearly rent of Rs5000 with 15 per cent central excise duty (CED) for a medium size locker or a key deposit of Rs2,000 plus yearly rent of Rs3,500 with 15 per cent CED. Although the government has nothing to do with the installation of ATMs or lockers, account holders have no option but to pay such CED.

The SBP is also not doing anything to improve facilities for account holders. Consumer societies should ask the government to remove CED on banking services and any other sectors where government does not have any investment.

Khawaja Tajammul Hussain

Karachi