A meeting of the central board of trustees of the Employees’ Provident Fund Organisation (EPFO) has been convened on March 25-26 to determine the interest rates for provident fund deposits for FY2022-23.
The PF interest rate for the current fiscal is expected to be around 8 percent as the EPFO calculates its earnings, ET reported citing sources.
EPFO’s returns on investments have been robust this year as pandemic-related withdrawals have come down significantly, the report said.
The EPFO could maintain the current interest rate of 8.1 percent or marginally cut it to 8 percent, depending on higher returns on equity investments, as per sources quoted by ET in the report.
“The central government is unlikely to go for any major tweaking in the interest rates as it heads into key state assembly elections this year followed by general elections next year,” an official told ET.
The EPFO’s interest rate of 8.1 percent for FY2021-22 is the lowest in four decades. The EPFO interest rate was 8.5 percent in the preceding year, FY2020-21.
