EPF interest rate may be hiked

New Delhi, January 02: Here is the good news that, Retirement fund manager Employees’ Provident Fund Organisation (EPFO) may raise interest rates from the current level of 8.55%, bringing cheer to millions of employees in the organized sector. If indeed EPFO does follow through, it will serve up another sop in poll-bound India, this time for the salaried employees. So far, farmers—through farm loan waivers—have been the beneficiaries, while the middle class has gained indirectly, with the recent reduction in goods and services tax (GST) rates on several consumer goods.

According to the details, Though the retirement fund body s annual internal review is yet to conclude, three officials with knowledge of the development told media that there was a good chance the EPF interest rate would be hiked up, bringing cheer to the salaried class.

" We are exploring whether we can offer interest rate of more than 8.55% this financial year. Reduction of the rate is a complete no at this point in time, though the final calculation and accounts audits are still on," Prabhakar Banasure, a member of EPFO s central board of trustees, told to media.