New Delhi: The government has approved an interest rate of 8.5 percent on employees’ funds for Fiscal 2020-21, said source.
Right in front of Diwali, this is good news for more than 5 crore customers from the Provident (EPFO) fund organization.
The interest rate of 8.5 percent on the provider’s fund deposit for the last financial year was decided by the EPFO decision-making agency, the Supervisory Council (CBT) led by the Minister of Labor in March this year.
A source said on Friday, “The interest in EPF for 2020-21 has been ratified by the Ministry of Finance and will now be credited into the account of more than five crore customers.” In March last year, the EPFO has reduced the invelent fund deposits to 7.5 percent of the lowest level of 2019-20, starting at 8.65 percent in 2018-19.
The EPF rate (provident carpictent fund) provided for 2019-20 is the lowest since 2012-13, when it was reduced to 8.5 percent.
EPFO has provided an interest rate of 8.65 percent to its customers in 2016-17 and 8.55 percent in 2017-18.
The interest rate is slightly higher at 8.8 percent in 2015-16.
It has provided an interest rate of 8.75 percent in 2013-14 and in 2014-15, higher than 8.5 percent for 2012-13.
The interest rate is 8.25 percent on Provident funds in 2011-12.
The government approved an interest rate of 8.5% in Provident funds for FY21
