EPF expected to declare 6-6.2% dividends for 2025

 While this would be slightly lower than 2024’s rate of 6.3%, it would still be one of the highest declared over the last five years.

It is understood that the EPF board recently met to endorse the rates, which will be announced at a media briefing on Saturday.

PETALING JAYA:

 Some 15 million EPF members can expect fairly good dividends for 2025 when the board makes the announcement on Saturday.

According to sources, a dividend of between 6% and 6.2% will be likely for EPF’s conventional and shariah accounts.

Last year, EPF declared a 6.3% dividend for conventional and shariah accounts, the first time both savings received the same rate.

In previous years, the shariah rate had been lower.

It is understood that the EPF board recently met to endorse the rates, which will be announced at a media briefing on Saturday.

Recent media reports quoted financial analysts as projecting a rate of 6.3% to 6.7%, based on EPF’s performance in its local and foreign portfolios.

A source said even though the rates were slightly lower, they were still much better than the interest offered by financial institutions for fixed deposits.

“Many Malaysians are taking funds out from banks to top up their EPF savings. EPF allows a maximum of RM100,000 to be added to their accounts each year. With banks offering only half the rate, many are taking advantage to save with EPF,” the source said.

EPF’s dividends for last year are expected to be among the highest in the last five years.

The rates for conventional and shariah savings stood at 5.2% and 4.9% respectively in 2020, 6.1% and 5.65% in 2021, 5.35% and 4.75% in 2022, 5.5% and 5.4% in 2023, and 6.3% for both accounts last year. - FMT