PETALING JAYA: The Employees’ Provident Fund (EPF) is likely to declare 2023 dividend payout between 5.5% and 5.8% in early March, says tax expert Koong Lin Loong.

The dividend payout for 2023 is expected to be slightly higher than the previous year of 5.35%, says Koong, who is also the treasurer-general of the Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM).

Based on EPF’s performance last year, Koong said it was more stable than the Covid-19 pandemic period.

Hence, he predicted the dividend payout to be between 5.5% and 5.8%, higher than 5.35% declared for 2022.

“The likelihood of exceeding 6% of dividend payout is slim.

“In simple term, it is better than the previous year but EPF members should not have too high expectation,” he said.

Although the unemployment rate has declined, Koong said the “lost funds” – referring to the four times of special withdrawals from EPF during the Covid-19 pandemic, have not been channeled back to EPF.

“To declare the dividend payout of 6%, EPF will have to maintain current dividend payout as well as deliver a better performance in its investment for one to two years,” he said.

In the past, EPF declared a dividend of 5.35% in 2022, 6.1% in 2021, 5.2% in 2020, 5.45% in 2019 and 6.15% in 2018.

The highest dividend payout was 6.9% declared in 2017, while the lowest was 5.2% in 2020 during the Covid-19 pandemic.