EPFO declares 8.55% interest rate for FY18, lower than 8.65% for FY17

This is third straight cut

RetiremenRetirement fund body EPFO today lowered the rate of interest on employees provident fund to 8.55% for its over 6-crore subscribers for 2017-18, from 8.65% in the previous fiscal.

"It is difficult to evaluate about future in view of present economic scenario. We paid 8.65% last fiscal, which left a surplus of Rs 695 crore. This year, we have decided to recommend 8.55% for 2017-18, which will leave a surplus of Rs 586 crore," Labour Minister Santosh Gangwar told reporter after the Employees' Provident Fund Organisation's (EPFO) trustees meet.

Gangwar, who also heads EPFO's apex decision making body Central Board