Provident Fund rate hiked by 0.25 p.c. for 2012-13

The PF interest rate in the previous fiscal was 8.25

Updated - November 17, 2021 04:10 am IST

Published - February 25, 2013 06:40 pm IST - New Delhi

The six crore subscribers of the central Employees Provident Fund Organisation (EPFO) will get an increased rate of interest — 8.50 per cent for 2012-13 — 0.25 per cent more than the 8.25 per cent given during 2011-12.

Labour and Employment Minister Mallikarjun Kharge told The Hindu after chairing the meeting of the Central Board of Trustees that the outgo for the EPFO due to the decision would be around Rs.20,000 crore. His Ministry was planning to give 8.6 per cent interest for 2012-13, but due to a Rs.800 crore deficit it had after giving 9.5 per cent interest (in 2010-11), a sum of Rs.500 crore in deficit was adjusted in 2011-12 by giving 8.25 per cent interest.

“This year [2012-13] the remaining deficit of Rs.300 crore has been adjusted. We have not crossed our limits and are paying from our profits and 8.5 per cent is indeed a good return for the subscribers,” Mr. Kharge said. He said that it was also decided that a permanent account number would be given to each EPF subscriber that would not change even if job or place of work is changed.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in


Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.