EPF Interest rate hike: good or bad?

EPF board increased the interest rate on provident funds from 8.5% to 9.5%. Is this good or bad for the economy?

While this may be a good news for salaried employees from a tax savings and retirement earnings stand point, it also creates a feeling that we as a country are going back to the high interest and low spending days. Not sure if that is a good guess or not, but I have a feeling that with interest rates going high in all areas, I may be paying heavily at some point for those small gains…

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