new Delhi. Everyone is in dire need of money in the Corona era. For this, the employed people are eyeing the EPF. Millions of crores of rupees have been withdrawn from EPF. The special thing is that the government is paying 8.5% interest on EPF interest. Which is the lowest in 6 years. In this too, scissors has been run by the government. Now the government has decided that it will pay 8.15% interest till December. The remaining 0.35 per cent will be paid. After all, why did it happen on behalf of the government? Let us also tell you.
This is the biggest reason
It is not hidden from anyone that the EPF rupee is invested in the stock market. The rupee is invested in government securities, debt instruments and the stock market. Due to Corona virus, there has been a very bad effect on the stock market. Because of which the EPF rupee has also sunk in the stock market by the government. Due to which the government has decided to pay 0.35 percent interest in December. The government is waiting to boost the stock market once again. So that better returns can be found. The government hopes that it can get better returns from equity.
How much money does the government put in the market
– The government can invest up to 15% of the EPF money in the stock market at present.
– Earlier, the government used to invest less money in the stock market.
In 2015-16, a total of 5% of the EPF ie 6578 crore rupees was invested in the stock market.
– In 2016-17, this figure increased by 10 percent i.e. Rs 14,981 crore.
Invested 15 per cent i.e. 24,970 crore rupees in the stock market in 2017-18.
– In 2018-19, the government invested 15 percent i.e. 27,974 crore rupees in the stock market.
– The government has not yet announced the investment for 2019-20.
Lowest interest rate in last 6 years
Currently, 8.50% interest is being paid on EPF.
At present, the rate of interest in EPF is the lowest in the last 6 years.
8.75% interest paid on provident fund in 2014-15.
8.80 percent interest paid in FY 2015-16.
– 8.65% PF interest rate applied in 2016-17.
8.55% interest paid in 2017-18.
8.65% interest rate has been implemented in 2018-19.
– This time, in 2019-20, 8.50 percent interest has been paid.