GP Fund Markup Rate Cut to 12.05% for FY2025-26

The federal government has lowered the markup rate on General Provident Fund (GP Fund) savings to 12.05% for fiscal year 2025-26, compared with 12.46% recorded in the previous financial year, according to a notification issued by the Ministry of Finance.

The newly approved markup rate for the State Provident Fund, which covers the General Provident Fund, has been communicated to the Controller General of Accounts (CGA) for necessary implementation across the relevant government offices.

The GP Fund markup rate was previously set at 13.97% for FY2023-24. It was subsequently reduced to 12.46% during FY2024-25 before being cut again to 12.05% for FY2025-26, marking the third consecutive annual decline in the return rate applicable to provident fund savings.

The Ministry of Finance issued the notification to the Controller General of Accounts and distributed it among more than 40 federal government offices, departments and related institutions for compliance and implementation.