Withdrawal timeline for NPS subscribers reduced to 'T+2' from 'T+4'

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The time taken for executing the withdrawal requests of National Pension System (NPS) subscribers has been slashed from 'T+4' to 'T+2', the Pension Fund Regulatory and Development Authority (PFRDA) said on September 20.

'T' is used as a reference for the day when the withdrawal request was authorised by the subscriber or the nodal office. Currently, executing the request required four days in addition to the day when it was authorised. The same has now "been reduced to T+2", PFRDA said in a release.

For subscribers associated with Protean eGov Technologies Ltd, which is one of the Central Recordkeeping Agencies (CRAs), the "requests authorised up to 10:30 AM will be settled on a T+2 basis", the regulatory body added.

For subscribers associated with KFin Technologies Ltd & CAMS - the two other CRAs - the requests "authorised up to 11 AM" will be settled on a T+2 basis, it noted.

The CRAs and Pension Funds (PFs) have improved the system interface and enhanced their IT capabilities to reduce the timelines of various transactions under NPS, the release said.

"The reduced timelines shall be introduced in a phased manner for other activities," PFRDA further stated.