InvestorQ : Will the higher interest rate on EPF deposits be effective immediately?
Akansha Shivdasani made post

Will the higher interest rate on EPF deposits be effective immediately?

Answer
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1 year ago


No. The increased interest rate of EPF deposits will not be effective immediately.

This is despite retirement body EPFO hiking interest rates to 8.65%, because it will need the approval of the Finance Ministry for the increased interest rate to come into effect.

Labour Minister Santosh Gangwar who was chairing the EPFO meeting that deliberated hike in interest rates said, "All members of the CBT at the meeting here agreed to give a higher interest for subscribers for the current fiscal. The proposal would now go to the Finance Ministry for approval. We will also convince them to provide this rate of interest."