Govt to consider PFRDA bill amendments to today
16 Nov 2011
The union cabinet is expected to take up for consideration amendments to the Pension Fund Regulatory and Development Authority (PFRDA) Bill, now in parliament.
The Yashwant Sinha-led standing committee on finance had favoured allowing a cap of 26 per cent on foreign direct investment (FDI) in pension programmes, which is currently barred from FDI investments.
The bill was introduced in the Lok Sabha this year and referred to the standing committee for consideration. The bill is likely to be taken up for passage during the winter session of parliament which starts on 22 November.
An assurance to subscribers of the New Pension System (NPS) on an assured return that would be at least equal to the interest rate given by the Employees' Provident Fund Scheme is one of the recommendations of the committee.
The NPS was launched in January, 2004, and has around 24 lakh subscribers, mostly central government employees.
In India, pension fund management companies do not offer guaranteed pension products.
