EPFO likely to retain interest rate at 8.55% for 2018-19 fiscal

Retirement fund body EPFO is likely to retain the interest rate on employees' provident fund at 8.55 per cent rate for the 2018-19 fiscal for its more than six crore subscribers, a highly-placed source said.

"The proposal for providing interest rate for the current fiscal would come up in the meeting of the trustees of Employees' Provident Fund Organisation on February 21," the source said.

"The interest rate would be retained at 8.55 per cent for the current fiscal as provided in 2017-18 in view of forthcoming Lok Sabha elections. The EPFO's income projections for the current fiscal would be tabled in the meeting."

The Central Board of Trustees headed by Labour Minister is the apex decision making body of the EPFO which finalises rate of interest on PF deposits for a financial year.

Once approved by the CBT, the proposal is required concurrence of the Finance Ministry.

The interest rate is credited into the subscribers account after the Finance Ministry's approval.