As per the latest data from EPFO, Rs 30,000 crore has been withdrawn by over 8 million subscribers of EPFO in the past 4 months. This huge withdrawal from the fund is possibly due to job losses, increased medical expenses, salary-cuts, etc.

Out of the total withdrawals, nearly 3 million beneficiaries withdrew around Rs 8,000 crore under the COVID window of the fund, and remaining Rs 22,000 crore was a general withdrawal by the subscribers as an advance for medical expenses. This represents a lot about the situation of the financial condition of individuals in the country.

Also, this huge outgo from the fund shall impact the fund’s earnings in FY21. So, majorly, huge withdrawals from the fund were to support livelihood and medical emergencies arriving during the coronavirus pandemic.