The Employees’ Provident Fund Organisation (EPFO) has approved maintaining an interest rate of 8.25% on employees’ provident fund (EPF) deposits for 2025-26. This decision was made during the 239th meeting of the Central Board of Trustees in New Delhi. The interest rate will remain unchanged for the second consecutive year.
The Central Board of Trustees, chaired by Union Labour and Employment Minister Mansukh Mandaviya, also included Minister of State Shobha Karandlaje and other officials. The proposed interest rate will now be forwarded to the Ministry of Finance for final approval before being credited to the accounts of over seven crore EPFO subscribers.
EPF deposits earn interest monthly but are credited annually. Inactive accounts for 36 months do not accumulate further interest. The EPFO’s financial discipline has ensured stable returns for subscribers, benefiting millions of workers and maintaining competitive returns compared to other investment avenues.
The EPFO’s investment portfolio’s strong credit profile has consistently enabled it to declare an interest rate above 8% in recent years. The organization’s decision-making reflects its commitment to providing attractive returns to members. Additionally, the Board has approved an Amnesty Scheme to address compliance issues and simplify processes for exempted establishments.
