EPFO plans to start Employees Bank!
Posted on: 21/Feb/2015 3:36:44 PM - No. of views : (1757)
EPFO (Employeesďż˝ Provident Fund Organisation) has planned to start an Employeesďż˝ Bank in order to increase revenues and extend loan facilities to employees.
EPFO is managing employeesďż˝ provident fund for Rs. 65 Lakh Crores. There are about 5 Lakh PF subscribers with the organisation.
The ministry of labour has been exploring and analysing the best methods of investing the fund. There have been several meetings conducted to decide this. The possibility of using the PF to invest in stock market and extending housing loan faculties was discussed in detail.
A report was submitted to the expert committee to take a decision. A decision was taken to extend housing loans of low budget accommodations for its PF subscribers.
An official from the department of ministry of labour explained:
A discussion was conducted about the possibility of starting an Employees Bank to extend banking services to the employees. This bank would not be competitor to EPFO.
EPFO had recently arranged to provide a permanent PF number for all its subscribers. The proposed Employees Bank will be completely computerised. Recommendations have been sent to the department of financial services about this proposal.
An official from the department of the ministry of labour explained that this proposal is under consideration. A decision will be taken shortly.
The proposed Employee Bank will bring more revenues to EPFO while priority will be given to the PF subscribers for loan facilities.
