Good news for Modi government amid energy crisis as RBI declares record dividend; details here
Discover how the Reserve Bank of India's record-breaking Rs 2.87 lakh crore dividend payout for FY26 offers a vital non-tax revenue boost and fiscal cushion to the Modi government amid global economic challenges.
RBI- File image
New Delhi: In a massive boost to the Modi government amid the soaring inflation and global energy crisis due to the impact of the Iran-US war, the Reserve Bank of India (RBI) has declared a record dividend of around Rs 2.87 lakh crore to Centre for FY26. Expected to help the government address challenges arising from the ongoing West Asia crisis, the decision of the RBI was taken at the 623rd meeting of the Central Board of Directors of Reserve Bank of India in Mumbai under the Chairmanship of Governor Sanjay Malhotra as the balance sheet of the central bank expanded by 20.61 per cent to Rs 91.97 lakh crore at the end of March 31, 2026. Here are all the details you need to know about the record dividend announced by the RBI for FY25-26.
Annual accounts of the Reserve Bank for the FY 2025-26
During its recent meeting, the Reserve Bank of India (RBI) Board assessed the global and domestic economic environments along with potential risks to the outlook. The Board also reviewed the central bank's annual accounts for the financial year 2025-26.
According to the RBI, the Bank's gross income grew by 26.42% compared to the previous year, while its expenditure (prior to risk provisions) rose by 27.60%. Consequently, net income before risk provisions and statutory fund transfers reached a total of Rs 3,95,972.10 crore for FY 2025-26, up from Rs 3,13,455.77 crore recorded in FY 2024-25.
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"The revised Economic Capital Framework (ECF) provides flexibility to maintain the Contingent Risk Buffer (CRB) between the range of 4.5 per cent and 7.5 per cent of the size of the Balance Sheet," the Central Bank said.
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Central Board decided to transfer Rs 1,09,379.64 crore to Central Government
Taking into consideration the current macroeconomic factors, financial performance of the Bank and maintenance of appropriate risk buffers, the Central Board decided to transfer Rs 1,09,379.64 crore towards the CRB for FY 2025-26 as against Rs 44,861.70 crore in the previous year, and maintain the CRB at 6.5 per cent of the size of the RBI Balance Sheet.
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The Central Board approved the transfer of surplus of Rs 2,86,588.46 crore to the Central Government for the accounting year 2025-26.
(With inputs from agencies)
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