EPFO interest rate raised to 8.65% from 8.55%, first hike since FY 16

The decision follows a populist interim budget announced by the government ahead of the Lok Sabha elections

Retirement fund body EPFO has decided to provide 8.65 per cent interest on PF deposits for 2018-19 against 8.55 per cent in the last year to its 6 crore subscribers, Labour Minister Santosh Gangwar said Thursday.

All members of the Central Board of Trustees (CBT) of EPFO at a meeting here agreed to give a higher interest for subscribers for the current fiscal, the minister said further.

The proposal would now go to the Finance Ministry for approval, Gangwar said after the CBT meeting.

Earlier, highly placed sources had indicated that the interest on EPF deposits for this fiscal could