July 08, 2025 01:32 am (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
PM Modi meets Uruguay President on sidelines of 17th BRICS Summit in Rio de Janeiro | PM Modi meets Bolivian President on the sidelines of BRICS in Rio de Janeiro | Supreme Court refuses interim stay on Election Commission's voter list revision drive in Bihar, hearing on Thursday | Khalistani terrorist Harpreet Singh alias Happy Passia, responsible for terror attacks in Punjab, brought to India from US: Report | Calcutta HC dismisses medical council's order suspending TMC leader Dr. Santanu Sen | I do not have any cabinet: Kangana Ranaut on Mandi disaster relief; Congress slams BJP MP for 'insensitivity' | 'Fadnavis did what Balasaheb Thackeray could not...': Raj Thackeray jibes at Maharashtra CM after MNS chief reunites with Uddhav | Modi will bow to Trump's deadline: Rahul Gandhi attacks PM over India-US trade deal | Marathi should be respected but thuggery in the name of language won't be tolerated: Devendra Fadnavis reacts to slapgate | Pune rape: Accused was not delivery boy but complainant's friend, she was angry at him for forced sex, say police
This year's surplus transfer is big jump from ₹2.1 lakh crore transferred in 2023-24. (Image courtesy: Pixabay)

RBI to transfer record ₹2.69 lakh cr dividend to Centre for FY25, raises risk buffer to 7.5%

| @indiablooms | May 23, 2025, at 09:18 pm

Mumbai: The Reserve Bank of India (RBI) on Friday announced a record dividend payout of ₹2.69 lakh crore to the Central government for the financial year ending March 2025—a 27.4% jump from the ₹2.1 lakh crore transferred in 2023-24.

For comparison, the surplus transferred in 2022-23 stood at ₹87,416 crore.

The decision was taken during the 616th meeting of the RBI’s Central Board of Directors, chaired by Governor Sanjay Malhotra, according to PTI.

The board also assessed the global and domestic economic scenarios and the associated risks.

In addition to approving the Annual Report and Financial Statements for FY25, the board evaluated the RBI’s overall performance for the period April 2024 to March 2025.

“The Board...approved the transfer of ₹2,68,590.07 crore as surplus to the Central Government for the accounting year 2024-25,” the RBI said in a statement.

The surplus transfer was calculated using the revised Economic Capital Framework (ECF), which the board adopted on May 15, 2025.

Under the updated ECF, the Contingent Risk Buffer (CRB)—used for risk provisioning—is required to be maintained between 4.5% and 7.5% of the RBI’s balance sheet. Given the macroeconomic conditions, the board decided to raise the CRB to 7.5%.

What is the Economic Capital Framework?

The ECF guides the RBI’s dividend payouts to the government. Introduced in August 2019 based on recommendations from the Bimal Jalan-led expert committee, it suggests maintaining a CRB in the range of 5.5% to 6.5% of the central bank’s balance sheet.

Last week, the RBI board reviewed the ECF to reaffirm its use in calculating surplus distribution.

In the previous fiscal year (2023-24), the RBI had transferred ₹2.1 lakh crore—more than double the ₹87,416 crore payout made in 2022-23.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.
Related Videos
RBI announces repo rate cut Jun 06, 2025, at 10:51 am
FM Nirmala Sitharaman presents Budget 2025 Feb 01, 2025, at 03:45 pm
Nirmala Sitharaman on Budget 2024 Jul 23, 2024, at 09:30 pm
Close menu