The Employees’ Provident Fund Organisation (EPFO) is learnt to have got clearance from the Finance Ministry for interest rate recommendation of 8.5 per cent for FY20 and is expected to credit it to subscribers in next few days. “Officials of both labour and finance ministries held meetings this week regarding the interest rate proposal. Queries sent by The Indian Express to the Finance Ministry went unanswered. The Finance Ministry had questioned the 2018-2019 interest rate of 8.65 per cent as well, besides the EPFO’s exposure to IL&FS and similar risky entities. It has been nudging the EPFO to reduce the rate to sub-8 per cent level in line with the overall interest rate scenario.

Source: Indian Express December 29, 2020 22:12 UTC