The Employee’s Provident Fund Organisation (EPFO) that had initially decided to liquidate some of its investment in exchange for traded funds to meet the deficit in order to provide 8.5% interest for the last fiscal year has now decided to credit a part of the 8.5% interest on Employee’s Provident Fund (EPF) for 2019-2020 in the accounts of its 60 million plus subscribers. This decision has been made at the EPFO Trustees meet held earlier this week.
The remaining rate of interest would be credited in the accounts of subscribers in December this year. The EPFO could not liquidate its investment in exchange traded funds as the market condition was dull owing to the COVID-19 pandemic led lockdown and other restrictions.
The apex decision making body of the EPFO namely the Central Board of Trustees (CBT) would be having a meeting in December to make a decision on crediting the remainder percentage of interest into the subscribers accounts.
