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The central government is considering changing the rules related to investment in the share market for EPFO ​​members. Given the volatility of the market, the government is focusing on risk management and investment strategy to protect the interests of the members. This move aims to keep the investment portfolio of EPFO ​​safe and give better returns to the members.

The central government is considering creating a fund reserve to give seamlessly uniform interest to 6 crore 50 lakh members of EPFO. With this move of the government, PF account holders will get uniform interest every year and they will get relief from market fluctuations.

An internal study is being done on the plan-

Under the supervision of the Minister of Labor and Employment and the Chairman of EPFO, officials are working to create a new system to create an "Interest Stabilization Reserve Fund". An official told the media that the goal of EPFO ​​is to protect its customers from fluctuations in various investments including Exchange Traded Funds (ETFs). With the formation of this fund, EPFO ​​​​customers will get a stable interest rate on provident fund deposits. This step is an important initiative towards providing financial security to the customers.

The reserve fund will be used like this-

Under this scheme, EPFO ​​​​will separate the surplus from the interest earned every year to create a reserve fund. This fund will be used to provide the same interest rate to the customers at the time of any reduction in interest income. This will help prevent any sudden cut or increase in interest rates despite market fluctuations, thereby maintaining stability. (EPFO ​​Updates)

Know when will it be implemented?

Let us tell you that this plan is in its initial stages and it is likely to be finalized by the end of this year. At the same time, after getting the green signal from the Central Board of Trustees of EPFO, it can be implemented from 2026-27.

When did PF account holders get the highest interest?

In the year 1952-53, EPFO ​​gave an interest to the customers at the rate of 3%, while in the year 1989-90 this interest rate increased to 12 percent. In the same year, EPFO ​​​​gave the highest interest to its customers, this interest rate remained unchanged in the year 2000-01. After this, in the year 2001-02, the interest rate given to the customers fell sharply and this year they were given interest at the rate of 9.5%. After this, during 2005-06, it fell further and came down to 8.5%. Although the interest rate was again increased to 9.50 percent in 2010-11, it was reduced to 8.25% in 2011-12 and after that in 2021-22 it reached a low of 8.10%.

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