New Delhi:EPFO or Employees’ Provident Fund Organisation today announced an interest rate of 8.55 for the year 2017-18 as compared to 8.65 per cent interest rate given to subscribers in 2016-17, and 8.8 per cent interest offered in 2015-16. Even though the EPFO has lowered the interest rate, the returns from provident fund deposits compare favourably to that of other investment schemes like public provident fund and bank deposits, which fetch lower interest rates. The retirement fund body has nearly 5 crore subscribers.

At the meeting of Central Board of Trustees (CBT), the EPFO decided to lower the interest rate despite media reports saying that the retirement body sold a portion of its investments in the exchange-traded funds (ETF) worth Rs 2,886 crore earlier this month to retain the 8.65% rate. In the financial year 2016-17, the EPFO had lowered the interest rate on EPF from 8.8% in 2015-16.