RBI Approves ₹2.10 Lakh Cr Dividend Payment To Central Government

The RBI on Wednesday said that its Central Board of Directors has approved the transfer of ₹2.10 lakh crore as surplus to the Central Government for the fiscal year 2023-24. This decision was taken during the 608th meeting held in Mumbai, presided over by Governor Shri Shaktikanta Das.

The Board evaluated both global and domestic economic conditions, including potential risks. They also reviewed the RBI’s operations from April 2023 to March 2024 and sanctioned the Annual Report and Financial Statements for the year.

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The surplus was calculated based on the Economic Capital Framework (ECF) adopted in August 2019, following recommendations from an Expert Committee headed by Dr. Bimal Jalan. The Committee had recommended maintaining the Contingent Risk Buffer (CRB) within 6.5 to 5.5 per cent of the RBI's balance sheet.

Thanks to improved economic growth in FY 2022-23, the CRB was increased to 6.00 per cent. Given the current strong economic conditions, the Board decided to further raise the CRB to 6.50 per cent for FY 2023-24.

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Posted In: GovernmentReserve Bank of India