RBI Dividend: RBI to pay report ₹2.70 lakh crore dividend to govt for FY25— 27% larger than FY24 | Mint

The Reserve Bank of India (RBI) pays as a lot as ₹2.69 lakh crore—the highest-ever surplus—as dividend to the central authorities for fiscal 2024-25 (FY25). The central financial institution introduced the report dividend fee on Friday, May 23.

This compares with ₹2.1 lakh crore transferred to the federal government within the monetary year-ended March 2024. RBI’s FY25 dividend fee is 27.4 per cent larger than FY24.

The Reserve Bank had transferred ₹2.1 lakh crore dividend to the federal government for the fiscal 2023-24. The payout was ₹87,416 crore for 2022-23.

The resolution on the dividend payout was taken on the 616th assembly of the Central Board of Directors of Reserve Bank of India underneath the Chairmanship of Governor Sanjay Malhotra.

The board reviewed the worldwide and home financial state of affairs, together with dangers to the outlook, RBI mentioned in a press release.

The board additionally mentioned the working of the Reserve Bank in the course of the yr April 2024 – March 2025 and authorized the Reserve Bank’s Annual Report and Financial Statements for the yr 2024-25.

The transferable surplus for the yr (2024-25) has been arrived at on the idea of the revised Economic Capital Framework (ECF) as authorized by the Central Board in its assembly held on May 15, 2025, RBI mentioned.

“The Board…authorized the switch of ₹2,68,590.07 crore as surplus to the Central Government for the accounting yr 2024-25,” it mentioned.

The revised framework stipulates that the danger provisioning underneath the Contingent Risk Buffer (CRB) be maintained inside a spread of seven.50 to 4.50 per cent of the RBI’s steadiness sheet.

Based on the revised ECF, and considering the macroeconomic evaluation, the Central Board determined to additional improve the CRB to 7.50 per cent, RBI mentioned.

The RBI makes an annual payout to the federal government from the excess revenue earned from investments and valuation adjustments on its international alternate holdings, together with the greenback, and the charges it will get from printing forex notes. 

A bonanza from the central financial institution will assist meet the federal government’s 4.4% fiscal deficit goal for the present monetary yr by fortifying its funds and offset a shortfall in tax collections as a result of weak progress. It may also create a cushion for any potential losses from import responsibility cuts as commerce talks proceed. 

Details on how the RBI managed to generate this substantial surplus can be disclosed in its annual report, anticipated to be launched within the coming days.