The meeting of the Central Board of Trustees of EPFO will be held in Guwahati on March 12, in which interest rates for 2021-22 will be discussed and then the Finance Ministry will take a final decision on it. It is expected that this time the government can increase the interest rates.
New Delhi: The Government of India can make a big announcement for crores of account holders in the festive season. The Board CBT meeting of Employees’ Provident Fund Organization (EPFO) is on March 12 in Guwahati. In this meeting, the interest rates of the current financial year of EPFO will be discussed. The Central Board of Trustees will decide the interest rate for the current financial year in this meeting and then submit its recommendations to the Finance Ministry.
It is expected that this time the government can increase the interest rates of EPFO. Actually, the interest rates on Employees’ Provident Fund (EPF) deposits for the financial year 2021-22 will be decided next month. Let us know the latest updates on this.
Will decide soon
It is worth noting that the Central Board of Trustees (CBT) takes the decision on the increase in the interest rates of EPFO. Its meeting is going to be held next month. Many big points can be decided in this meeting. It is expected that in this the interest rates for the current financial year will be decided. Union Labor Minister Bhupendra Yadav said, ‘The meeting of the Central Board of Trustees of EPFO will be held in Guwahati in March, in which the proposal to fix the interest rates for 2021-22 is listed.’ Along with this, discussion can also be held on increasing the minimum amount of pension.
8.5% interest rate may remain
On the question of maintaining the interest rate of 8.5% for EPFO 2021-22 like 2020-21, Union Labor Minister Bhupendra Yadav said that this decision will be taken on the basis of income estimates for the next financial year. Let us tell you that Bhupendra Yadav is the head of CBT.
Interest rate may remain stable
The current financial year has been challenging for EPFO. But despite all the hindrances, the EPFO can sell a stake in its equity investment to pay 8.5% interest. This time due to less options, bond investment was very less and capital could not be invested. The Finance Investment and Audit Committee of EPFO has sent its recommendations to the CBT. That is, the final decision on the interest rate will be taken in the meeting to be held in March.
This is the figure for the last 10 years
After the decision on the interest rate is taken by the CBT, it is sent for the approval of the Ministry of Finance. Where the final decision on this is taken. In March-2020, EPFO reduced the interest rate on provident fund deposits to a 7-year low of 8.5% for 2019-20.
- 8.65% interest in 2018-19
- 8.65% interest in 2017-18
- 8.65% interest in 2016-17
- 8.8% interest in 2015-16
- 8.75% interest in 2014-15
- 8.75% interest in 2013-14
- 8.5% interest in 2012-13
- 8.25% interest in 2011-12
It is worth noting that recently, EPFO said on its Twitter handle that it has deposited interest in 24 crore more PF accounts for the financial year 2020-21. The organization has given interest at the rate of 8.5 percent.
