Govt fixes EPF interest rate at 8.1 per cent for FY 22

New Delhi:The Centre on Friday fixed Employees' Provident Fund (EPF) interest rate at 8.1 per cent for financial year 2022.The Ministry of Labour and Employment has conveyed approval of the central government to credit 8.1 per cent of interest for 2021-22 to each member of the EPF scheme, an EPFO Office order said.

The interest rate, lowest in the last four decades, is set to impact 60 million subscribers.The EPFO had in March proposed to cut the interest rate on provident fund deposits from 8.5 per cent to 8.1 per cent for the financial year 2021-22.

The EPFO had added 1.53 million subscribers in March this year. It was 19 per cent more than 1.28 million enrolled in February.The 8.5 per cent rate of interest for 2020-21 was decided by the Central Board of Trustees (CBT) in March and ratified by the Ministry of Finance in October last year.

The EPF interest rate for 2019-20 was at 8.5 per cent, for 2017-18 it was 8.55 per cent and for 2016-17 it was 8.65 per cent.In 2015-16 it was 8.8 per cent and 8.75 per cent in 2015-16. The EPFO had given 8.5 per cent for 2012-13 and 8.25 per cent in 2011-12.(UNI)