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IMPORTANT PF NEWS: Interest on EPF Deposits fixed at 8.1%, Lowest in Decades

Deposits that are made in the financial year 2021-11 will fetch an interest rate of 8.1%, the EPFO announced on Saturday.

“The Employees’ Provident Fund Organisation’s (EPFO’s) apex decision making body Central Board of Trustees has decided to provide 8.1 per cent rate of interest on Employees Provident Fund (EPF) for 2021-22 in its meeting held on Saturday,” news agency PTI tweeted quoting sources.


This interest rate has been the lowest since 1977-78 when the EPF interest rate was 8% and this fixed interest rate is likely to disappoint all the salaried employees.

Before this, the interest rates dwindled to 8.5% in 2019-30 which was lower than the 2018-19 period when the interest rate was 8.65%. In 2017-18 the interest rate was 8.55% and in 2016-17 it was 8.65%. The highest was in 2015-16 with an interest rate of 8.8%.


Provident Fund gives a comparatively good interest rate than other investment opportunities like FDs and RDs. After the COVID 19 pandemic, PF was also hit like FDs and RDs, hence it is one of the reasons why the interest rate has dropped down to its lowest. The other investment option that give a similar interest rate is Post Office’s PPF account (7.1% interest rate).