Business Mantra News
In a move to facilitate PF subscribers and Govt. employees, the Government is mulling over to keep interest rate on Provident Fund unchanged, as per the report published in the Indian Express.
The NDA Govt. is planning to keep the interest rate on PF static which was set in the last year i.e. 8.65%. The Govt. plans to sell some shares held by EPFO since August 2015 to shore up the returns.
As per the sources, the EPFO would sell shares worth Rs.2000 Crore to book an estimated extra income of Rs.850 Crore. This supplementary income of Rs.850 Crore would be ploughed in as earnings. These earnings will help govt. to distribute interest.
The rate of Interest on PF was 8.65% for fiscal year 2016-17, while during 2015-16 it stood 8.8 per cent and 8.75% for the fiscal years 2013-14 & 2014-15.