EPFO Announces Interest Rate for 2024-25

The Employees' Provident Fund Organisation (EPFO) has set the interest rate for the fiscal year 2024-25 at 8.25% for its subscribers. This decision was made during a meeting of the Central Board of Trustees (CBT), EPFO's highest decision-making body, and awaits final approval from the Ministry of Finance.

This rate marks a slight increase from the 8.15% offered in 2022-23 and a recovery from the significant drop to 8.1% in March 2022, the lowest rate in over four decades. The EPFO's decision reflects its commitment to balancing the interests of its over seven crore subscribers with the prevailing economic conditions.

Historical Context and Future Implications

Historically, the EPFO has adjusted its interest rates in response to economic shifts, with rates fluctuating from 8.65% in 2016-17 to 8.5% in 2020-21. The newly decided rate for 2024-25, once approved, will be credited to the accounts of EPFO's subscribers, impacting millions of employees across the country.

Understanding these changes is crucial for employees planning their retirement savings. Stay informed with the latest business news and updates to make the most of your provident fund investments.