EPFO retains 8.25 per cent interest rate for 2025-26

After government ratification, the 2025–26 interest rate will be credited to the accounts of over seven crore subscribers of the Employees' Provident Fund Organisation 

New Delhi: Retirement fund body EPFO on Monday fixed the interest rate on employees’ provident fund (EPF) deposits for 2025-26 at 8.25 per cent, retaining the rate for the second consecutive year, a source said. In February last year, the EPFO retained the 8.25 per cent rate of interest for 2024-25 fiscal year.

The Employees’ Provident Fund Organisation (EPFO), in 2024, increased the interest rate marginally to 8.25 per cent for 2023-24, from 8.15 per cent in 2022-23.

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In March 2022, EPFO lowered the interest on post-retirement deposits for 2021-22 to an over four-decade low of 8.10 per cent for its over seven crore subscribers, from 8.5 per cent in 2020-21. The 8.10 per cent rate for 2020-21 was the lowest since 1977-78, when the rate stood at 8 per cent.

“The EPFO’s apex decision making body Central Board of Trustees (CBT) has decided to provide 8.25 per cent rate of interest on EPF for 2025-26 at its meeting on Monday,” the source said.

After the CBT’s decision, the interest rate on EPF deposits for 2025-26 will be sent to the Ministry of Finance for concurrence. After the government’s ratification, the interest rate for 2025-26 will be credited into accounts of over seven crore subscribers of EPFO.

EPFO provides the rate of interest after it is ratified by the government through the finance ministry.
In March 2020, EPFO lowered the interest rate on provident fund deposits to a seven-year low of 8.5 per cent for 2019-20, from 8.65 per cent provided for 2018-19.

EPFO provided an 8.65 per cent interest rate to its subscribers in 2016-17 and 8.55 per cent in 2017-18. The rate of interest was slightly higher at 8.8 per cent in 2015-16. The retirement fund body gave 8.75 per cent rate of interest in 2013-14 as well as 2014-15, higher than 8.5 per cent for 2012-13. The rate of interest was 8.25 per cent in 2011-12.