PF interest rate for FY25 credited into 96.51% of all member accounts

In a welcome move, the Employees’ Provident Fund has credited interest for the year 2024-25 in nearly all member accounts, completing the activity within less than two months after the rate of interest was notified by the finance ministry.

As per official data, annual account updation had to be done for 13.88 lakh establishments with 33.56 crore member accounts this year. By July 8, interest had been credited in 32.39 crore member accounts of 13.86 lakh establishments. “This translates into completion of annual accounts updation for 99.9% of the establishments and 96.51% of member accounts,” said an official source. Interest will be credited in all remaining accounts and will be completed this week.

The move is a far cry from previous years when crediting interest on provident fund deposits into members’ accounts can drag on for months after it gets approved by the finance ministry. Even last fiscal, the process of crediting interest into members’ accounts began in August and was completed in December.

“The interest crediting systems have now been optimised for faster processing, due to which the entire exercise is being completed so quickly,” explained the source.

For 2024-25, the EPFO had announced an interest rate of 8.25% in February 2025. It was officially approved by the finance ministry on May 22. “Accordingly, preparatory activities were immediately undertaken and the annual accounts updation began from the night of June 6,” they were added.

About Rs 4,000 crore of money is credited into members’ accounts as interest on their PF deposits.