Page 11 - Banking Finance July 2025

ROUNDUP

sion follows rising geopolitical tensions, Provident Fund (EPF) deposits for FY25, (CAG) of India will soon finalise a panel
including new tariffs from the United maintaining the same rate as the pre- of Chartered Accountant (CA) firms to
States, and signs of weakening eco- vious fiscal year. The Employees' Provi- support audits of autonomous bodies.
nomic momentum in the eurozone. dent Fund Organisation (EPFO) will Deputy CAG (Commercial) Anand
now credit this interest to over 7 crore Mohan Bajaj clarified that CA firms will
ECB President Christine Lagarde stated
subscribers. act as part of the audit team, not as
that future monetary policy will be
sole auditors, with the CAG retaining
heavily influenced by the outcome of The Finance Ministry ratified the rate
full responsibility for the audit and its
global trade negotiations and geopo- after it was recommended by the
final report.
litical developments. While analysts EPFO's Central Board of Trustees dur-
had widely anticipated the rate cut, ing its 237th meeting chaired by The initiative follows a rise in auditing
concerns remain about the ECB's scope Labour Minister Mansukh Mandaviya. complexity, especially as institutions
for further easing. Lagarde noted that This rate remains competitive against like AIIMS now manage expenditures
fiscal measures such as increased infra- other fixed-income options, ensuring of Rs 6,000 crore. The move has
structure and defence spending, stable post-retirement earnings. sparked political objections, with CPM
coupled with structural reforms, could MP S. Venkatesan alleging that
The EPF interest rate has seen fluctua-
also support euro area growth. outsourcing could compromise CAG's
tions in recent years, including a four-
The central bank's move is intended to decade low of 8.1% for FY22. The de- independence.
shield the economy from sluggish de- cision comes amidst ongoing efforts to Bajaj reassured that confidentiality
mand and export uncertainty, while offer inflation-beating returns and fi- agreements would be in place and that
encouraging investment and consump- nancial security to the working popu- co-option aims to strengthen audit
tion amidst an unpredictable global lation. The credited interest is a key quality. The CAG invited expressions of
environment. component of India's retirement sav- interest from CA firms by June 5 to
ings framework. assist in audits between July 2025 and
EPFO Retains 8.25% Inter- March 2027.
CAG to Co-opt Chartered
est Rate on Provident
Accountants for Auditing Trump Revives 'Trump
Fund for FY25
The government has approved an Autonomous Bodies Gold Card' US Residency

8.25% interest rate on Employees' The Comptroller and Auditor General Pitch Amid Doubts
Former US President Donald Trump
has once again promoted the idea of
66% Senior Citizens Find Technology Confusing: a "Trump Gold Card," a $5 million-for-
HelpAge India Study residency visa scheme targeting
wealthy foreign nationals. Despite
A new study by HelpAge India has revealed that nearly 66% of senior citizens
in India find digital technology confusing, and 51% fear making mistakes while promising its launch nearly 15 weeks
using it. Released ahead of World Elder Abuse Awareness Day, the report titled ago, only a vague website-
'Understanding Inter-generational Dynamics and Perceptions on Aging' sur- trumpcard.gov-has been unveiled, of-
fering no program details or timeline.
veyed 5,798 respondents across metro and non-metro cities.
Trump claims the initiative, intended to
Notably, 44% of the elderly feel embarrassed to seek repeated guidance, and
24% fear damaging devices. Despite these challenges, many seniors rely on replace the EB-5 Immigrant Investor
Program, will generate trillions in rev-
their families for help-54% are guided by children and 52% by grandchildren.
However, a generational gap persists: 78% of youth perceive elders as disin- enue by granting permanent residency
terested in acquiring digital skills, while 66% consider them forgetful. and potential citizenship to affluent
applicants without job creation re-
The findings underscore the need for inclusive digital literacy initiatives to quirements. Experts remain sceptical
bridge the technological divide between generations and enhance confi- of the program's feasibility, transpar-
dence among older users in navigating the digital world. ency, and legal standing. Critics have

10 | 2025 | JULY | BANKING FINANCE