Central Board of Trustees, EPF in its 230th meeting dated 12.03.2022 recommended annual rate of interest @ 8.10% to be credited on EPF accumulations in member’s accounts for the financial year 2021-22.

Labour and Employment Ministry has said, the returns on EPFO’s investments are higher even when the yields have been steadily coming down in the past decade. The assured fixed return every year along with the tax exemptions makes it an attractive savings option for the subscribers.

For FY 2022, EPFO decided to liquidate some of its investment in equities and the interest rate recommended is a result of combined income from interest received from debt investment as well as income realized from equity investment. This enabled EPFO to provide a higher return to its subscribers and still allowed EPFO with a surplus to act as a cushion for providing a higher return in the future also. There is no over-drawl on the EPFO corpus due to this income distribution.

The interest rate would be officially notified in the government gazette following which EPFO would credit the rate of interest into its subscribers’ accounts.