In a significant financial announcement, the Government of India has approved the retention of the 8.25% interest rate on Employees’ Provident Fund (EPF) deposits for the fiscal year 2024–25. This move reaffirms the government’s commitment to safeguarding the long-term savings and retirement security of millions of salaried individuals across the country.
The decision was finalized after due consultation with the Employees’ Provident Fund Organisation (EPFO) and is expected to benefit more than 70 million EPF subscribers, allowing them to earn annual interest at a steady and competitive rate on their accumulated retirement corpus.
Stability in Interest Rates Seen as a Boost to Long-Term Savings Amid Market Volatility
Experts have welcomed the government’s decision to maintain the EPF interest rate at 8.25%, especially during a time when fluctuations in financial markets and interest-bearing instruments have created uncertainty for many savers. The consistent return offered by EPF continues to outperform many fixed-income instruments, making it a reliable pillar of retirement planning for the formal workforce.
Annual Payouts Set to Benefit Workers and Contribute to National Savings Pool
With more than ₹7 crore active contributors, EPFO’s retained interest rate will ensure a robust annual payout to account holders. The interest will be credited to EPF accounts at the end of the financial year, following standard auditing and reconciliation procedures.
Officials believe this move will strengthen public trust in statutory retirement schemes and encourage a more disciplined savings culture among working professionals.
