Business
Planning To Use Your EPF Money To Pay Off Debts? Here’s What It Could Cost You
For thousands of salaried individuals, a familiar dilemma emerges a few years after buying a home. On one hand lies the home loan statement, with its stubborn outstanding balance and monthly EMI. On the other sits the Employee Provident Fund (EPF) passbook, steadily growing with every contribution and annual interest credit. The question that naturally follows is simple but consequential: should you dip into your EPF savings to repay the home loan and become debt-free? (News18 Hindi)

At first glance, the idea appears appealing. Closing a home loan using EPF funds promises immediate relief from EMIs, emotional comfort and the satisfaction of owning a house outright. However, financial experts caution that what feels like a smart short-term move could quietly weaken long-term financial security. (News18 Hindi)

EPF is not just another savings account. It is a structured, compulsory retirement instrument designed to build wealth steadily over decades. Contributions made by employees and employers earn an annual interest of around 8.25%, compounded over time. Crucially, these returns are entirely tax-free, making EPF one of the most efficient long-term investment tools available to salaried individuals. (AI-Generated Image)

Home loans, in contrast, are structured liabilities that become easier to manage with time. As EMIs progress, the interest component gradually reduces while the principal repayment increases. Simultaneously, salaries typically rise with experience and inflation, reducing the relative burden of EMIs over the years. Under the old tax regime, borrowers also benefit from deductions on both principal and interest, though these benefits are absent under the new tax regime. (News18 Hindi)

The interest rate comparison often drives confusion. Home loan rates currently hover around 7-7.5%, slightly lower than EPF’s 8.25%. On the surface, the difference appears marginal. But the real distinction lies in taxation. For someone in the highest tax slab, an 8.25% tax-free EPF return is equivalent to earning nearly 11% from a taxable investment. Few instruments offer that level of safety and assured, post-tax returns. (News18 Hindi)

Consider a commonly cited scenario. A borrower has a home loan outstanding of Rs 20 lakh with ten years remaining, and an EPF balance of Rs 20 lakh earning 8.25% interest. If the entire EPF amount is withdrawn to close the loan, the borrower saves roughly Rs 9 lakh in interest payments over the remaining tenure. However, this comes at the cost of completely exhausting the retirement corpus. Rebuilding such a fund later, especially as expenses rise with age, can be challenging. (News18 Hindi)

If the EPF is left untouched instead, the same Rs 20 lakh can grow to more than Rs 44 lakh over 10 years, entirely tax-free. Even after accounting for the interest paid on the home loan, the individual ends up with a significantly stronger financial cushion for retirement. In essence, the compounding power of EPF outweighs the interest saved on early loan closure in most situations. (News18 Hindi)

There are, however, limited circumstances where using EPF for loan repayment may make sense. Individuals who are nearing retirement, have surplus EPF savings well beyond their projected needs, or face severe cash flow stress may consider partial or full withdrawal. Even then, experts recommend caution and detailed financial planning before taking such a step. (News18 Hindi)
Business
US job creation in 2025 slows to weakest since Covid
The number of jobs created in the US grew only modestly in December, as a weak year for the employment market in the world’s largest economy drew to a close.
Employers added 50,000 jobs in the final month of 2025, according to Labor Department data, which was fewer than expected. But the unemployment rate dipped to 4.4%.
Job gains last year were the smallest since 2020, when the Covid pandemic led to widespread cuts.
Businesses have been operating in an environment marked by US President Donald Trump’s dramatic policy changes, including tariffs, an immigration crackdown and cuts to government spending.
The US economy has held up in the face of these shifts, growing at an annual rate of 4.3% over the three months to September.
But the expansion – driven by steady consumer spending and a growth in exports – has not been accompanied by significant job creation.
On average, the US added just 49,000 roles per month in 2025, down from an estimated gain of two million a month the year before.
The Labor Department said the US also added 76,000 fewer new positions in October and November than previously estimated.
Retailers and manufacturers were among the sectors reporting losses last month, which were offset by hiring at health care employers, bars and restaurants.
The data underscores the mixed dynamics facing job-seekers in the US, where hiring has cooled markedly over the last year but fears of mass layoffs have not materialised.
The US Federal Reserve central bank has responded to the slowdown by cutting its key lending rate in hopes of giving the economy a boost, despite concerns that inflation is still bubbling.
But the central bank is divided about how much lower borrowing costs should go.
Analysts said the latest figures – which showed the jobless rate recovering to the 4.4% level where it stood in September – would do little to resolve those debates.
“Today’s report confirms what we think has been evident for some time—the labor market is no longer working in favour of job seekers,” said Ellen Zentner, chief economic strategist for Morgan Stanley Wealth Management.
But she added: “Until the data provide a clearer direction, a divided Fed is likely to stay that way. Lower rates are likely coming this year, but the markets may have to be patient.”
Business
Global Healthcare Fund Offers $70 Million To Pinnacle Blooms For Expansion: Report
Pinnacle Blooms Network, the pediatric therapy venture of Bharath Healthcare Laboratories, has secured $70 million (Rs 630 crore) from Global Healthcare Fund to fuel its expansion plans.
The two-tranche Series A round, advised by Yukon Capital, is set to become one of the largest early-stage investments in child development infrastructure across Asia, reported Hindu Business Line.
The funding will be deployed in two phases. The first tranche of $70 million will support rapid domestic expansion and technology upgrades. A second follow-on tranche is planned as the company enters markets in Southeast Asia and the GCC.
Capital deployment will enable Pinnacle to scale its network from 70 to 300 multidisciplinary therapy centres within 24 months. It will also accelerate R&D for home-based TherapeuticAI solutions, support large-scale manufacturing of TherapySphere sensory rooms, and fund regulatory submissions for international market access.
At the core of the platform is the proprietary Pinnacle Child Development Operating System—a multi-patent-filed digital therapeutic ecosystem that measures, predicts, and personalizes every aspect of a child’s developmental journey across speech, motor, cognitive, and behavioral domains.
Aneesh Madhav, Chief Executive Officer, Yukon Capital, said, “Pinnacle has solved the fundamental problem in developmental health — how do you make therapy measurable, scalable, and accessible without losing the human element.”
Dr. Koti Reddy Saripalli, Founder G Chairman, Bharath Healthcare Laboratories, said, “The world has finally recognized that developmental health is not charity; it’s essential infrastructure. We’re not raising capital to grow. We’re raising capital to ensure that every child on earth who needs measurable therapy can access it.”
Business
Elon Musk’s Grok AI image editing limited to paid users after deepfakes
Elon Musk’s platform X has limited image editing with its AI tool Grok to paying users, after it came under fire for allowing people to make sexualised deepfakes.
There has been a significant backlash after the chatbot honoured requests from users to digitally alter images of other people by undressing them without their consent.
But Grok is now telling people asking it to make such material that only paid subscribers would be able to do so – meaning their name and payment information must be on file.
The BBC has approached X for comment.
Those who do not subscribe can still use Grok to edit images on its separate app and website.
“Musk has thrown his toys out of the pram in protest at being held to account for the tsunami of abuse,” said Professor Clare McGlynn, an expert in the legal regulation of pornography, sexual violence and online abuse.
“Instead of taking the responsible steps to ensure Grok could not be used for abusive purposes, it has withdrawn access for the vast majority of users.”
It comes after the government urged regulator Ofcom to use all its powers – up to and including an effective ban – against X over concerns about unlawful AI images created on the site.
Addressing concerns that sexualised images of adults and children had been generated by Grok, Prime Minister Sir Keir Starmer said it was “disgraceful” and “disgusting”.
He said Ofcom had the government’s “full support” to act on the content.
“It’s unlawful. We’re not going to tolerate it. I’ve asked for all options to be on the table,” he said in an interview with Greatest Hits Radio.
Government sources told BBC News: “We would expect Ofcom to use all powers at its disposal in regard to Grok and X.”
Ofcom’s powers under the Online Safety Act include being able to seek a court order to prevent third parties from helping the Elon Musk-owned platform raise money or be accessed in the UK.
The BBC has approached the regulator for comment.
Grok is a free tool which users can tag directly in posts or replies under other users’ posts to ask it for a particular response.
But the feature has also allowed people to request it to edit images – and ask it to digitally strip people of most of their clothing.
Grok has fulfilled many user requests asking it to edit images of women to show them in bikinis or little clothing – something those subject to such requests have told the BBC left them feeling “humiliated” and “dehumanised“.
However as of Friday morning, Grok has told users asking it to alter images uploaded to X that “image generation and editing are currently limited to paying subscribers”.
It adds users “can subscribe to unlock these features”.
Some posts on the platform seen by BBC News suggest only those with a blue tick “verified” mark – exclusive to X’s paid subscriber tier – were able to successfully request image edits to Grok.
Prof McGlynn said the move echoed X’s approach to pornographic Taylor Swift deepfakes on the platform last year – where it blocked searches for sexualised material generated of the popstar using a Grok AI video feature.
“He is doing this to stoke free speech arguments,” she added.
“He will claim regulation is stifling people’s use of this technology. But, all the regulation requires is that he takes necessary precautions to reduce harm.”
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