As per a leading business dailies report, the centre may credit the EPF interest rate of 8.5% for 2020-21 by Diwali this year. A good 6 crore subscriber base of the EPF scheme is eagerly awaiting the interest credit, which has been delayed for long.
Now as per a leading business dailies report, the EPF credit shall be made at the same time when the central government employees and pensioners will be receiving their hike in DA and DR, told anonymous officials to the publisher.
"Authorities have sought the finance ministry's approval on going ahead with the 8.5% interest rate for 2020-21. When the decisions were made about the interest, all factors have been taken into account and the fund manager is well placed to pay 8.5% rate," said this official cited in the report.
For the fiscal ended 2020, the EPFO's income base stood at a good Rs. 70,300 crore that includes around Rs. 4,000 crore from selling a portion of its equity investments.
After the board decided on EPF interest rate it said it is based on the interest earnings of the fund's corpus into equity and capital appreciation from equities.