Explorer

EPFO lowers interest rate on EPF to 8.65% for FY17

NEW DELHI: The Employees Provident Fund Organisation (EPFO) today decided to lower the interest on EPF deposits for the current fiscal to 8.65 per cent, from 8.8 provided in 2015-16, for its over four crore subscribers. "The EPFO's apex decision making body, the Central Board of Trustees (CBT), has taken a decision to lower the interest rate to 8.65 per cent for the current fiscal from 8.8 in 2015-16," Indian National Trade Union Congress Vice-President Ashok Singh said after the meeting at Bengaluru. Bharatiya Mazdoor Sangh General Secretary Virjesh Upadhyay also said that 8.65 per cent rate of interest is fixed on EPF deposits for 2016-17. As per the retirement fund body's income projections, retaining 8.8 per cent rate of interest for the current fiscal would have left a deficit of Rs 383 crore. However, the body could have utilised about Rs 409 crore surplus with it, which accrued after providing 8.8 per cent rate of interest for 2015-16, to retain the same rate of return for the current fiscal. A surplus of about Rs 69.34 crore was stipulated if interest rate was to be lowered to 8.7 per cent. EPFO has projected income of Rs 39,084 crore for the current fiscal. As per sources, the Finance Ministry has been asking the Labour Ministry to align the EPF interest rate with other small saving schemes of the government like Public Provident Fund (PPF). In September, the government reduced interest rates on small savings schemes marginally by 0.1 per cent for the October-December quarter of 2016-17, which resulted in lower returns on PPF, Kisan Vikas Patra, Sukanya Samriddhi Account, among others. The Labour Ministry however wanted to retain 8.8 per cent for the current fiscal as well, a source said.
View More
Advertisement
Advertisement
25°C
New Delhi
Rain: 100mm
Humidity: 97%
Wind: WNW 47km/h
See Today's Weather
powered by
Accu Weather
Advertisement

Top Headline

Mukhtar Ansari Death: UP Court Orders Probe After Son Claims Father 'Poisoned' In Jail — Top Points
Mukhtar Ansari Death: UP Court Orders Probe After Son Claims Father 'Poisoned' In Jail — Top Points
I.N.D.I.A Bloc In Bihar: Here's How Congress, RJD Have Decided To Share Seats After JD-U's Exit
I.N.D.I.A Bloc In Bihar: Here's How Congress, RJD Have Decided To Share Seats After JD-U's Exit
'System Ki Dhajjiyan Uda Rahen Hain': Hardeep Puri Jabs Kejriwal At ABP Shikhar Sammelan 2024
'System Ki Dhajjiyan Uda Rahen Hain': Hardeep Puri Jabs Kejriwal At ABP Shikhar Sammelan 2024
'BJP Should Pay Rs 4,600 Crore': Congress Slams Income Tax Dept, ECI After Getting Rs 1,700-Crore Notice
'BJP Should Pay Rs 4,600 Crore': Congress Slams Income Tax Dept, ECI After Getting Rs 1,700-Crore Notice
Advertisement
for smartphones
and tablets

Videos

ABP Shikhar Sammelan 2024: What will be the formula for Congress to gather max seats in Rajasthan?ABP Shikhar Sammelan 2024: Congress leader expresses his views over losing in Rajasthan PollsIsha Malviya's Collaboration With Parth Samthaan Ignites Anticipation: What Surprises Await Their Fans?ABP Shikhar Sammelan 2024: Will Congress leader Sachin Pilot ever join BJP? Know his answer

Photogallery

Embed widget