New Delhi: EPFO, the retirement fund organisation, has raised the interest rate on employees' provident fund (EPF) deposits to 8.25% for 2023-24, the highest rate in three years.
The decision was made at a meeting of the EPFO's top decision-making body, the Central Board of Trustees (CBT), on Saturday.
This action came after the EPFO raised the interest rate on EPF in March 2023 to 8.15% for fiscal year 2022-23, up from 8.10% in 2021-22. However, in March 2022, the EPFO cut the interest rate on EPF to an over-four-decade low of 8.1% for 2021-22, down from 8.5% in 2020-21, NDTV reported.
The 8.25% interest rate for 2023-24 is a welcome move for the EPFO's more than six crore subscribers. It is worth noting that in March 2021, the CBT fixed the EPF interest rate for 2020-21 at 8.5%.
A source within the EPFO stated, "The EPFO's apex decision-making body Central Board of Trustees (CBT) has decided to provide an 8.25% rate of interest on EPF for 2023-24 at its meeting on Saturday." Following the CBT's decision, the interest rate on EPF deposits for the upcoming fiscal year will be submitted to the Ministry of Finance for concurrence.