Inoperative EPF Accounts May Fetch 8.8% Interest

Business

oi-Sunil Fernandes

The EPF will pay 8.8 per cent on inoperative accounts, a PTI report has said, quoting the Union Labour Minister

By Sunil Fernandes

Published: Thursday, November 3, 2016, 16:33 [IST]

The government will issue a notification authorising retirement fund body Employees Provident Fund Organisation (EPFO) to pay 8.8 per cent interest on "inoperative" accounts, Union Labour Minister Bandaru Dattatreya said, according to PTI reports.

"The inoperative EPF accounts are not being paid interest since 2011. As per the instructions given by Prime Minister Narendra Modi and Finance Minister Arun Jaitley, we decided to start paying interest on those accounts to make them operative," Mr. Dattatreya said.

"I have already signed the file concerned. The notification will be issued soon. We will pay 8.8 per cent interest on those accounts. About 9.70 crore workers or emplo-yees will benefit from this notifi-cation. This is a Diwali gift for the people. We will issue the notification within a week," he told PTI.