The Employees’ Provident Fund Organisation’s EPFO on Thursday retained 8.5% rate of interest on provident fund deposits for 2020-21, reports news agency PTI quoting sources. The retirement body has over five crore active subscribers. 

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There were speculations that the EPFO would lower interest on provident fund deposits for this fiscal (2020-21) from 8.5% given in 2019-20 in view of more withdrawals and lesser contribution by members amid the coronavirus pandemic.

In March last year, the EPFO had lowered interest rate on provident fund deposits to a seven-year low of 8.5% for 2019-20, from 8.65% in 2018-19.

The EPF (Employees Provident Fund) interest rate provided for 2019-20 was the lowest since 2012-13, when it was 8.5%.

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The EPFO had provided 8.65% interest rate to its subscribers in 2016-17 and 8.55% in 2017-18. The rate of interest was slightly higher at 8.8% in 2015-16.