The Government of India has ratified the Employees’ Provident Fund (EPF) interest rate at 8.25% for the financial year 2024-25, ensuring stable returns for over 7 crore subscribers. The Employees’ Provident Fund Organisation (EPFO) will soon credit the interest amount to members’ accounts.
Government Approval and EPFO Decision
The Central Board of Trustees (CBT) of EPFO, chaired by Union Labour Minister Mansukh Mandaviya, had proposed retaining the 8.25% interest rate at its 237th meeting on February 28, 2025. The proposal was subsequently sent to the Ministry of Finance, which has now given its final approval.
EPF Interest Rate Trends
- FY24: 8.25%
- FY23: 8.15%
- FY22: 8.1% (lowest in four decades)
The EPF interest rate remains one of the highest fixed-income returns available to salaried employees, ensuring steady post-retirement savings.
EPFO Membership Growth
EPFO recorded 14.58 lakh net additions to its membership in March 2025, reflecting a 1.15% increase compared to March 2024. The rise in new subscribers is attributed to better job opportunities, increased awareness of employee benefits, and EPFO outreach programs.
Future Outlook
With the government’s continued focus on financial security, EPFO is expected to enhance digital services and streamline claim settlements to improve subscriber experience.
