Interest Rate on EPF Deposits for 2021-22: The Union government has approved an interest rate of 8.1 per cent on employees' provident fund (EPF) deposits for 2021-22 for about five crore subscribers of retirement fund body - Employees' Provident Fund Organisation (EPFO). The rate of interest is the lowest since 1977-78 when it stood at 8 per cent. Earlier in March, the EPFO had decided to cut the interest on PF deposits from 8.5 per cent provided in 2020-21 to 8.1 per cent for 2021-22. According to an EPFO office order issued on Friday, the Ministry of Labour and Employment has conveyed approval of the central government to credit 8.1 per cent rate of interest for 2021-22 to each member of the EPF scheme. The labour ministry had sent the proposal to the Ministry of Finance for its concurrence. After the government's consent to the interest rate, the EPFO would now start crediting the fixed rate of interest for the fiscal into the EPF accounts. The 8.1 per cent EPF rate of interest is the lowest since 1977-78, when it stood at 8 per cent. The 8.5 per cent interest rate on EPF deposits for 2020-21 was decided by the Central Board of Trustees (CBT) in March 2021 and was approved by the finance ministry in October 2021. In March 2020, the EPFO had lowered the interest rate on provident fund deposits to a seven-year low of 8.5 per cent for 2019-20, from 8.65 per cent in 2018-19. EPFO had provided 8.65 per cent interest rate to its subscribers in 2016-17 and 8.55 per cent in 2017-18. The rate of interest was slightly higher at 8.8 per cent in 2015-16. It had given 8.75 per cent rate of interest in 2013-14 as well as 2014-15, higher than the 8.5 per cent for 2012-13. The rate of interest was 8.25 per cent in 2011-12. -With inputs from PTI
