Reserve Bank's Historic Rs 2.69 Lakh Crore Dividend to Government
The Reserve Bank of India announced a historic dividend payment of Rs 2.69 lakh crore to the government for the fiscal year ending March, marking a 27.4% increase from the previous year. The decision was made at its 616th board meeting, reflecting enhanced risk provisioning in its Economic Capital Framework.
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The Reserve Bank of India (RBI) has unveiled a landmark dividend of Rs 2.69 lakh crore to be transferred to the central government for the fiscal year ending March 2025. This payout, significantly higher than the previous year, underscores the bank's evolving economic strategy.
The decision emerged from the RBI's 616th Central Board meeting, led by Governor Sanjay Malhotra. The board examined both global and domestic economic landscapes, alongside reviewing the bank's Annual Report and Financial Statements for 2024-25.
Adjustments within the revised Economic Capital Framework enabled this substantial transfer. The framework emphasizes risk provisioning, and the board elected to increase the Contingent Risk Buffer to 7.50% of the bank's balance sheet, reinforcing financial stability.
(With inputs from agencies.)
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