The Central Board of Trustees of the Employees’ Provident Fund Organisation (EPFO) has proposed an increased interest rate of 8.25 percent for the financial year 2023-24 for its more than 29 crore total subscribers, with approximately 6.8 crore being active contributing subscribers, as per sources.
Prior to the upcoming general elections scheduled for April-May this year, the decision to increase the EPF interest rate was made during the CBT meeting held on Saturday. This marks the highest interest rate for EPF subscribers in the past three years, surpassing the previous peak of 8.5 per cent in 2019-20, which was maintained in 2020-21.
In 2021-22, the CBT reduced the interest rate to 8.1 per cent, marking the lowest rate in forty years. Subsequently, it slightly increased the rate to 8.15 per cent in 2022-23.
According to the convention, the Ministry of Labour and Employment will send its recommendation for the interest rate to the Ministry of Finance for approval. Once the ministry approves the interest rate, the EPFO will then credit the interest rate for the previous fiscal year to the EPF subscribers.
EPFO interest rates from 2010
2010-11: 9.50 per cent
2011-12: 8.25 per cent
2012-13: 8.50 per cent
2013-14: 8.75 per cent
2014-15: 8.75 per cent
2015-16: 8.80 per cent
2016-17: 8.65 per cent
2017-18: 8.55 per cent
2018-19: 8.65 per cent
2019-20: 8.5 per cent
2020-21: 8.5 per cent
2021-22: 8.1 per cent
2022-23: 8.15 per cent
2023-24*: 8.25 per cent