EPFO mulls increasing equity investment limit to 25% to bridge shortfall

Earlier on Saturday, the government approved 8.1% rate of interest on EPF deposits for 2021-22, which is an over four-decade low, for about 50 million subscribers of EPFO

The Employees' Provident Fund Organisation (EPFO) is considering a proposal to increase its investment limit in equities to 25 per cent of incremental flows from the existing 15 per cent, according to a report in the Economic Times. The equity investment will be first raised to 20 per cent and then to 25 per cent in the second phase.

Earlier on Saturday, the government approved 8.1 per cent rate of interest on EPF deposits for 2021-22, which is an over four-decade low, for about 50 million subscribers of EPFO.

EPFO's idea to gain higher exposure in stocks seems to be