Home India Ministry of Finance Parliament Question: Implemention of Old Pension Scheme...
Date: 2025-08-11 Category: Not Applicable State: Union Government Country: India

Parliament Question: Implemention of Old Pension Scheme

Issued by Ministry of Finance · Not Applicable

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Executive Summary & Key Takeaways

**Summary:** This document summarizes the Indian government's response to a parliamentary question regarding the implementation of the Old Pension Scheme (OPS) and the return of New Pension Scheme (NPS) funds to states that have reverted to OPS. The Ministry of Finance, in response to Lok Sabha Unstarred Question No. 3454 on August 11, 2025, stated that there is no proposal under consideration to restore the OPS for Central Government employees, citing concerns about its unsustainable fiscal burden. Regarding the return of NPS funds to states that have implemented the OPS, the Ministry clarified that there is no provision under the Pension Fund Regulatory and Development Authority (PFRDA) Act, 2013, or related regulations, to refund the accumulated NPS corpus to state governments. The response also provided a list of states that have informed the PFRDA about their reversion from NPS to OPS, along with the amount of pension fund under NPS as of July 31, 2025: * Chhattisgarh: ₹22,499.80 Crore * Himachal Pradesh: ₹11,111.93 Crore * Jharkhand: ₹14,368.67 Crore * Punjab: ₹31,960.43 Crore * Rajasthan: ₹50,884.11 Crore The response was provided by Shri Pankaj Chaudhary, Minister of State for Finance.

Key Entities Referenced

Old Pension Scheme: A pension system previously used by the Government of India for its employees. New Pension Scheme: A pension system that replaced the Old Pension Scheme. Ministry of Finance: The ministry responsible for financial matters in the Government of India. Shri Amra Ram: A member of Lok Sabha who asked a question regarding the implementation of the Old Pension Scheme. Shri Pankaj Chaudhary: Minister of State for Finance who provided the answer to the Lok Sabha question. Pension Fund Regulatory and Development Authority (PFRDA): The regulatory body for pension funds in India. Chhattisgarh: A State in India that has reverted to the Old Pension Scheme. Rajasthan: A State in India that has reverted to the Old Pension Scheme.
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GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES ***** LOK SABHA UNSTARRED QUESTION NO. †3454 ANSWERED ON MONDAY, 11 AUGUST, 2025/ SRAVANA 20, 1947 (SAKA) IMPLEMENTATION OF OLD PENSION SCHEME †3454. SHRI AMRA RAM Will the Minister of FINANCE be pleased to state: (a) whether the Government intends to implement old Pension Scheme, if so, the time by which the Government proposes to implement this scheme and if not, the reasons therefor; (b) whether the Government proposes to return the corpus of New Pension Scheme to the States which have implemented old pension scheme, if so, the details thereof and if not, the reasons therefor; and (c) the number of States which have implemented old pension scheme along with the amount of pension fund deposited with the Government by these States and the time by which the fund is likely to be returned to the States? ANSWER MINISTER OF STATE FOR FINANCE (SHRI PANKAJ CHAUDHARY) (a) There is no proposal under consideration of the Government of India for restoration of Old Pension Scheme (OPS) in respect of Central Government employees. The Government had moved away from OPS due to its unsustainable fiscal liability on the Government exchequer. (b) & (c) The State Governments which have informed the Government/Pension Fund Regulatory and Development Authority (PFRDA) about reversion from National Pension System (NPS) to OPS and the details of pension fund under NPS as on 31.07.2025 are as below: S. No. Name of State Amount of Pension Fund (Rs. in Cr) 1. Chhattisgarh 22,499.80 2. Himachal Pradesh 11,111.93 3. Jharkhand 14,368.67 4. Punjab 31,960.43 5. Rajasthan 50,884.11 There is no provision under the Pension Fund Regulatory and Development Authority (PFRDA) Act, 2013, read along with PFRDA (Exits and Withdrawals under the National Pension System) Regulations,2015, and other relevant Regulations, vide which the accumulated corpus of the subscribers towards National Pension System can be refunded and deposited back to the State Government. **********

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