EPFO Subscribers May Soon Get Interest For 2020-21

60 million Employees Provident Fund Organisation (EPFO) subscribers may soon be credited with interest declared for 2020-21 ahead of the festive season.

Earlier, the finance minister announced an interest rate of 8.5% for the 2020-21 financial year, which was pending approval for over six months now. As per the top official of the finance ministry, a meeting was held recently to address queries of the interest rates declared for the previous fiscal which will be approved soon.

One of the officials of the ministry raised issues about the higher interest rates as the interest rate is higher than compared to public provident funds or small saving schemes. However, officials of EPFO said that the organisation is comfortable paying 8.5% to the users.

It is estimated that EPFO would generate Rs 70,300 crore in the previous fiscal which would include Rs 4,000 crore from the sale of its equity investments and Rs 65,000 crore from debt.