Same Day Investment of NPS Contributions
PFRDA circular PFRDA/2024/13/SUP-CRA/07 · 26 Jun 2024
Official title
Same Day Investment of NPS contributions (T+0) received by Trustee Bank effective from 1st July 2024
PFRDA circular PFRDA/2024/13/SUP-CRA/07 · 26 Jun 2024
Official title
Same Day Investment of NPS contributions (T+0) received by Trustee Bank effective from 1st July 2024
Summary
Check the official recordThe Pension Fund Regulatory and Development Authority (PFRDA) has mandated a shift to same-day (T+0) investment for National Pension System (NPS) contributions received by the Trustee Bank. Effective 1 July 2024, contributions received by the Trustee Bank by 11:00 AM on any settlement day will be invested on the same day. Contributions received after this cutoff will be invested on the next settlement day (T+1). This policy applies to all contribution channels, including Government Nodal Offices, Points of Presence (PoPs), eNPS, D-Remit, and UPI. Stakeholders, including PoPs and Government Nodal Offices, are required to align their information-sharing and remittance systems with the Central Recordkeeping Agency and Trustee Bank to ensure subscribers receive the benefits of same-day investment.
What you must do
Key dates
Who is affected
Thresholds
CIRCULAR
Circular No. PFRDA/2024/13/SUP-CRA/07
Date: 26 June 2024
To, i. Trustee Bank (‘TB’) ii. Central Recordkeeping Agency (‘CRA’) iii. National Pension System Trust (‘NPS Trust’) iv. Government Nodal Offices (i.e. CG, SGs, CABs & SABs) v. Point of Presence (‘PoP’) vi. All other NPS Stake Holders
Madam / Sir,
Same Day Investment of NPS contributions (T+0) received by Trustee Bank effective from 1st July 2024
National Pension System (NPS) subscribers have multiple modes for contribution deposit including through Points of Presence (PoPs), eNPS, D-Remit, UPI, UPI QR Code and their employers. These contributions are deposited into the designated account of the Trustee Bank (TB) following the sharing of contribution information with the Central Recordkeeping Agencies (CRAs). Currently, contributions received by the Trustee Bank are invested on the next settlement day (T+1), meaning contributions received until the previous day (T) are invested the following day (T+1).
With advancements in technology and a robust system-level interface between TB and CRAs, contributions received by TB till 11 AM (T) on any settlement day will now be considered for same-day investment. This new timeline for same-day investment will be effective from 1st July 2024. Contributions received by TB after 11 AM will be invested on the next day (T+1).
The extended timeline for accepting contributions will apply to all types of contributions received by TB from/through Government Nodal Offices, PoPs, eNPS, D-Remit, UPI, etc. D-Remit contributions received by 9:30 AM on any settlement day which are already considered for same-day investment, will also be extended according to the revised timelines of 11 am.
PoPs, Government Nodal Offices and NPS Trust for eNPS are advised to align their information-sharing systems with CRA and the contribution remittance framework to TB according to the revised timelines in a time-bound manner. This alignment ensures that the benefits of same-day investments are passed on to the subscribers as applicable.
The circular is issued under Section 14 of the PFRDA Act, 2013 and is made available on the PFRDA website (www.pfrda.org.in) in the Circular section under the regulatory framework.
Yours faithfully,
Digitally signed by K MOHAN GANDHI
Chief General Manager
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