RBI announces ₹2.86 lakh crore dividend payout to government

The Reserve Bank of India (RBI) on Friday approved a record surplus transfer of ₹2,86,588.46 crore to the Central Government for the accounting year 2025-26, significantly higher than last year’s payout of ₹2,10,874 crore.

The decision was taken during the 623rd meeting of the Central Board of Directors of the RBI held in Mumbai under the chairmanship of Governor Sanjay Malhotra.

The central bank said its balance sheet expanded 20.61% year-on-year to ₹91.97 lakh crore as of March 31, 2026. RBI’s gross income rose 26.42% during FY26, while expenditure before risk provisions increased 27.60%.

The net income before risk provisions and transfer to statutory funds stood at ₹3,95,972.10 crore in FY26, compared to ₹3,13,455.77 crore in the previous year.

The Board also reviewed the revised Economic Capital Framework (ECF), which allows the Contingent Risk Buffer (CRB) to be maintained between 4.5% and 7.5% of the RBI’s balance sheet. Taking into account macroeconomic conditions and financial stability requirements, the Board decided to maintain the CRB at 6.5%.

Additionally, the RBI transferred ₹1,09,379.64 crore towards the CRB for FY26, higher than ₹44,861.70 crore transferred in the previous year.

The surplus transfer is expected to provide a significant fiscal boost to the government, supporting expenditure plans and helping manage the fiscal deficit.