look news india
RBI Dividend News : The Reserve Bank has allowed the Central Government to give the highest dividend of Rs 2.11 lakh crore so far in its history. The Reserve Bank has to pay a dividend of Rs 2.11 lakh crore to the Central Government for the financial year 2023-24. This amount is Rs. 87,416 crores showing an increase of 140 ka. In this way, when the new government is formed on June 4, it will get a jackpot of Rs 2.11 lakh crore. This amount will help the government in controlling the fiscal deficit.
RBI gave the highest ever dividend to the government in 2018-19. This amount was Rs. 1.76 lakh crore. This decision was taken in the 608th meeting of the Central Board of Directors of the Reserve Bank under the leadership of Governor Shashikant Das. The Reserve Bank has allocated Rs. 2,10,874 crore to be transferred as reserve. This amount will help the government to keep the deficit in the current financial year at 5.1 percent of GDP i.e. Rs 17.34 lakh crore.
It is worth noting that the government was expecting a dividend of Rs 1.02 lakh crore from the Reserve Bank and public financial institutions in the budget for 2024-25. In return, the Reserve Bank alone has given double the amount. Apart from this, recently the monthly collection of GST has exceeded Rs 2 lakh crore. There is a possibility that GST collection will continue to grow at a high rate in future as well. In such a situation, now the government is getting good news on every front.
The Reserve Bank transfers to the central government every year income from currency printing charges, fluctuations in the valuation of dollar reserves and additional income from investment income. Sources also said that the recommendations of the Bimal Jalan Committee are kept in mind while transferring the amount.
As recommended by the Jalan Committee, the Reserve Bank has to maintain 5.50 to 6.50 per cent of its balance sheet to meet the contingency requirement. This amount has to be maintained to deal with any situation arising out of risks related to depreciation of securities or exchange rate policy etc.
Aggressive interest rate hikes by the US Federal Reserve in recent years have enabled the Reserve Bank to earn more interest on its foreign currency assets, leading to higher dividends for the financial year ending 2023-24.
With more money available, the financial position of the government will be strengthened and the fiscal deficit will also be less. This dividend has been declared under the financial year 2023-24 but it will be visible in the books of the government for the nominal year 2024-25.