The RBI has increased the balance in the contingency reserve by Rs 969.47 crore to Rs 56,218.76 crore as on June 30, 2004 over Rs 55,249.29 crore in the preceding year. This is a rise of 1.75 per cent. | |
| The rise will help the central bank meet the 12 per cent indicative target for the CR of RBI's total assets to be achieved by June 2005. The central bank's liabilities have increased by Rs 11,573.48 crore to Rs 1,29,929.49 crore as on June 30, 2004. |
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| This is largely on account of increase in the levels of the currency and gold revaluation account (CGRA). The balance in CGRA is today equal to 11.5 per cent of foreign currency assets and gold holdings of the central bank, as compared to 13.4 per cent at the end of June 2003. |
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| The RBI said the fall is mainly due to the increase in foreign currency assets and appreciation of the rupee against the the dollar during 2003-04. |
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| The RBI has also increased the asset development reserve by Rs 188.09 crore to Rs 5,778.94 crore as on June 30, 2004. The ADR is expected to reach one per cent of RBI's total assets within the overall target of 12 per cent set for the CR. |
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| The ADR is meant for meeting internal capital expenditure and for making investments in RBI's subsidiaries and associate institutions. |
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| Today, CR and ADR constitute 10.2 per cent of total assets, having almost doubled from Rs 33,079 crore as on June 30, 2000 to Rs 61,997.7 crore on June 30, 2004. |
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| The RBI in its annual report said that with the additional Rs 969.47 crore transferred to the CR from its income, the amount will be sufficient to meet contingent liabilities. |
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