PFRDA Reforms NPS: Banks Can Now Set Up Pension Funds

• PFRDA allows Scheduled Commercial Banks (SCBs) to establish pension funds for NPS management.
• Reforms aim to boost pension infrastructure, expand NPS reach, and enhance subscriber protection.
• New framework removes regulatory barriers, promoting competition and safeguarding subscriber interests.
• Dinesh Kumar Khara appointed Chairperson of NPS Trust Board, alongside two other new trustees.
• Investment Management Fees restructured, effective April 1, 2026, with reduced rates for higher non-government AUM.

Why It Matters: PFRDA's reforms allow banks to manage NPS funds, boosting competition and subscriber benefits.