The Employees Provident Fund Organisation (EPFO) may soon credit the interest declared for 2020-21 in the accounts of 60 million subscribers.
The interest rate of 8.5%, declared for 2020-21 in March this year, has been awaiting the finance ministry’s approval for over six months now. “It should be happening soon,” the official said, referring to the finance ministry’s approval.
A top official of the labour ministry told that a meeting was recently held between the two ministries to address some of the queries of the finance ministry on the interest rate declared for the previous fiscal.
Another official said that the finance ministry had raised issue on the reduced surplus with the EPFO on 8.5%. However, EPFO retained that it is in a comfortable position to pay out the interest at 8.5%.”
Income of around Rs 70,300 crore had been estimated crore in the previous fiscal, including Rs 4,000 crore from sale of its equity investments and Rs 65,000 crore from debt.