EPFO decided to lower the interest rates on PF deposits to an over four-decade low of 8.1% for its about 5 crore subscribers, from 8.5% provided in 2020-21

Retirement fund body Employees' Provident Fund Organisation (EPFO) on Saturday decided to lower the interest on provident fund deposits for 2021-22

The EPFO's apex decision-making body Central Board of Trustees has decided to provide an 8.1% rate of interest on the Employees Provident Fund (EPF) for 2021-22

The Employees' Provident Fund Organisation's (EPFO's) apex decision making body Central Board of Trustees has decided to provide 8.1 % rate of interest on Employees Provident Fund (EPF) for 2021-22 

It must be noted that the Central Board of Trustees (CBT) in March last year had decided the 8.5 % interest rate on EPF deposits for 2020-21

It was ratified by the finance ministry in October 2021 and thereafter, EPFO issued directions to field offices to credit the interest income at 8.5 % for 2020-21 into the subscribers' account

Now, after the CBT decision, the interest rate on EPF deposits for 2021-22 will be sent to the Ministry of Finance for concurrence

EPFO provides the rate of interest only after it is ratified by the government through the finance ministry

In March 2020, EPFO had lowered the interest rate on provident fund deposits to a seven-year low of 8.5 % for 2019-20, from 8.65 % provided for 2018-19

The EPF interest rate provided for 2019-20 was the lowest since 2012-13, when it was brought down to 8.5 %.

EPFO had provided 8.65 % interest rate to its subscribers in 2016-17 and 8.55 % in 2017-18. The rate of interest was slightly higher at 8.8 % in 2015-16

 This is the lowest since 1977-78 when the EPF interest rate stood at 8%, the news agency added.The decision was taken during the meeting of the EPFO's central board of trustees