The Reserve Bank of India approved a record surplus transfer of ₹2.87 trillion to the government
Despite the large payout, fiscal pressures remain because the government had already budgeted for it
High crude prices and underrecoveries are straining state-run oil-marketing companies
Cuts in fuel excise duties and weaker tax collections could widen fiscal stress further
Rising fuel and fertiliser subsidy demands may increase government expenditure significantly
The central bank faces pressure from rupee weakness and rising inflation expectations
Bond yields and fiscal risks will depend heavily on how long the West Asia crisis persists