New Delhi, April 25: The Union Government has approved 8.7 per cent interest on PF deposits for over 5 crore subscribers of retirement body EPFO, lower than 8.8 per cent decided by the Central Board of Trustees (CBT).
Labour Minister Bandaru Dattatreya told the Lower House of Indian parliament that the EPFO’s apex decision-making body CBT has proposed an interim rate of interest at 8.8 per cent to be credited to the accounts of Employees’ Provident Fund subscribers for 2015-16.
However, the government has ratified an interest rate of 8.7 per cent, Dattatreya said told the House in a written reply.
Earlier, EPFO had provided 8.75 per cent rate of interest in 2013-14 and 2014-15, which was higher than 8.5 per cent in 2012-13 and 8.25 per cent in 2011-12.
The EPFO pays rate of return to its subscribers on the basis of returns it generates from its investments.
