Government Retains GPF, Other PF Rates For July-Sep 2025 At 7.10 Per Cent

The Department of Economic Affairs under the Ministry of Finance, Government of India, has announced the rate of interest for the group provident fund (GPF), and other provident funds, keeping them unchanged at 7.10 per cent for the second quarter of FY 26.

The Centre determines the rate of interest for its various provident fund schemes, including Public Provident fund (PPF), GPF, CPF, among others. The rate of interest announced are valid for the second quarter (July-September) of the financial year (FY) 2025-26. PPF interest rates have also been retained at 7.10 per cent for the second quarter of FY 26.

“It is announced for general information that during the year 2025-26. Accumulations at the credit of subscribers to the General Provident Fund and other similar funds shall carry interest at the rate of 7.10 per cent (Seven point one percent) w.e.f. 1st July, 2025 to 30th September, 2025. This rate will be in force w.e.f. 1 July, 2025,” the Department of Economic Affairs announced in a resolution.

What Is GPF?

GPF is a provident fund option only for government employees. A government employee (permanent or temporary), a re-employed employee, or a temporary employee is eligible to contribute to GPF. They can opt for this in addition to the Employees’ Provident Fund (EPF). However, unlike EPF where both the employee and employer contribute, GPF allows only employees to contribute to the scheme. The contribution can be a minimum of 6 per cent and a maximum of 100 per cent of the salary. However, this amount cannot exceed Rs 5 lakh in a financial year.

The Department of Personnel and Training under the Ministry of Personnel, Public Grievances and Pensions, through a notification dated January 6, 2023, specified that the maximum limit for subscribing to the GPF (Central Services) under General Provident Fund (Central Services) Rules, 1960 is Rs 5 lakh.

The amount contributed to the GPF is paid back to the employee at the time of retirement.

GPF Interest Rate

GPF and other similar funds available to different government departments remain unchanged at 7.10 per cent for the July to September 2025 quarter. These include:

• The General Provident Fund (Central Services)

• The Contributory Provident Fund (India)

• The All India Services Provident Fund

• The State Railway Provident Fund

• The General Provident Fund (Defence Services)

• The Indian Ordnance Department Provident Fund

• The Indian Ordnance Factories Workmen’s Provident Fund

• The Indian Naval Dockyard Workmen’s Provident Fund

• The Defence Services Officers Provident Fund

• The Armed Forces Personnel Provident Fund

GPF rates are reviewed and determined every quarter similar to those for Post Office Small Savings Schemes. Recently, the government announced interest rates for these schemes. The rates remained unchanged. Notably, PPF is part of the small savings schemes and is open for all, unlike EPF or GPF. PPF also offers a rate of interest of 7.10 per cent per annum.