Good News For Provident Fund Investors As EPFO Increases Interest Rate To 8.15% For FY 2022-23

The retirement fund body EPFO (Employees' Provident Fund Organisation) has today?announced an increase in interest rates for the employees' provident fund for FY 2022–203. The EPF rate now stands at 8.15% p.a.??

EPF Rate Increased From 8.1% To 8.15%

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Last year, in March 2022, EPFO lowered the interest rate on EPF for 2021–2022 to an over four-decade low of 8.1 percent for its about 5 crore subscribers, from 8.5 percent in 2020–2021, as per a PTI report.??

This was the lowest since 1977-78, when the EPF interest rate stood at 8 per cent.?"The EPFO’s apex decision making body Central Board of Trustees (CBT) has decided to provide 8.15 per cent rate of interest on EPF for 2022-23 at its meeting on Tuesday," a source said.

After the CBT's decision, the interest rate on EPF deposits for 2022–2023 will be sent to the Ministry of Finance for concurrence.??

Interest To Be Credited After Govt's Approval

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After the government's ratification, the?interest rate on EPF for 2022–2023 will be credited into the accounts of over 5 crore subscribers to EPFO.?EPFO provides the rate of interest only after it is ratified by the government through the finance ministry.

In March 2020, EPFO lowered the interest rate on provident fund deposits to a seven-year low of 8.5 percent for 2019–20, down from the 8.65 percent provided for 2018–19, the report mentioned.

EPFO had provided an 8.65 percent interest rate to its subscribers in 2016–17 and an 8.55 percent interest rate in 2017–18. The rate of interest was slightly higher at 8.8 percent in 2015-16.

EPFO had given an 8.75 percent rate of interest in 2013–14 as well as 2014–15, higher than the 8.5 percent rate in 2012–13. The rate of interest was 8.25 percent in 2011–12.

Also Read:?Explained: How?EPFO's?New Guidelines Make You Eligible To Get A?Higher Pensions

Previous Interest Rates Since The Last Two Decades

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Let's look back at the interest rates declared by EPFO in the last two decades:

2001-02: 9.50%?

2002-03: 9.50%?

2003-04: 9.50%?

2004-05 9.50%

2005-06: 8.50%?

2006-07: 8.50%?

2007-08: 8.50%?

2008-09: 8.50%

2009-10: 8.50%?

2010-11 9.50%:

2011-12: 8.25%

2012-13: 8.50%

2013-14: 8.75%

2014-15: 8.75%

2015-16: 8.80%

2016-17: 8.65%

2017-18: 8.55%

2018-19: 8.65%?

2019-20: 8.50%

2020-21: 8.50%

2021-22 8.10%??

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