EPFO Cuts Interest Rate | Reduction in interest rate on deposits | seal to keep 8.1 percent in the meeting - Google Karle

 The two-day meeting of the Central Board of Trustees (CBT) of Employees' Provident Fund Organization (EPFO) began in Guwahati on Friday. A big decision has been taken on Saturday after a thorough deliberation in the meeting. The interest rate on deposits in EPF has been changed and it has been reduced from 8.5 to 8.1 percent.

Before Holi, the government has given a big blow to the employees, which is going to directly disappoint about six crore salaried people of the country. The two-day meeting of the Central Board of Trustees (CBT) of Employees' Provident Fund Organization (EPFO) began in Guwahati on Friday. A major decision has been taken on Saturday after a thorough deliberation in the meeting. While changing the interest rate on EPF deposits, it has been reduced from 8.5 to 8.1 percent. This information has come to the fore by quoting sources.

Was already expected to cut

Significantly, before the start of the meeting, it was expected that in this two-day meeting, major decisions could be taken on many proposals including provident fund (PF) interest for the current financial year. It was being said that in view of the current economic conditions, the CBT may decide to reduce or keep the interest rates stable in the current financial year. However, it was estimated that interest rates could be kept in the range of 8.35 to 8.45 percent if cut. But the organization has approved this 8.1 percent fix. Now after the decision of CBT, the interest rate on EPF deposit for 2021-22 will be sent to the Finance Ministry for consent. The EPFO ​​provides the interest rate only after the government confirms it through the Ministry of Finance.

Lowest in the last four decades

According to the report, this interest rate fixed by the EPFO ​​is the lowest since 1977-78 for more than four decades. When the interest rate of EPF was 8 percent. Let us inform here that the Central Board of Trustees (CBT) had fixed an interest rate of 8.5 percent on EPF deposits for 2020-21 in March 2021. Here, if you look at the interest rates received by the EPFO ​​on deposits in the PF account in the last financial years, then the EPFO ​​had fixed 8.5 percent interest in the financial year 2020-21 and the previous financial year. Earlier, 8.65 percent interest was given on EPFO ​​in 2018-19. EPFO had paid 8.65 per cent interest in 2016-17 and 2017-18 also. At the same time, the interest rate was 8.8 percent in 2015-16, 8.75 percent in 2013-14 and 2014-15 also.