Reserve Bank to transfer Rs 57,128 crore as dividend to the Union govt

The government had budgeted Rs 60,000 crore as dividend to bridge its fiscal deficit

The Reserve Bank of India (RBI) will transfer Rs 57,128 crore of its surplus to the Union government for the fiscal 2019-20, against Rs 1.76 trillion it did last year, the central bank said in a statement. 

The government had budgeted for Rs 60,000 crore to bridge its fiscal deficit, but government officials had expected more. The surplus is commonly called “dividend”. The government’s finances are stretched owing to the pandemic and economic slowdown.

The recently released data showed the Centre’s fiscal deficit for the thirst three months of 2020-21 stood at Rs 6.62 trillion, which is 83 per cent of the