Reserve Bank of India transfers record Rs 2.87 lakh crore dividend to government for FY26

The Reserve Bank of India approved a record surplus transfer of approximately Rs 2.87 lakh crore to the Indian government for the fiscal year 2025‑26, surpassing the Rs 2.69 lakh crore paid in the previous year. The central bank’s balance sheet expanded 20.61 % year‑on‑year to Rs 91.97 lakh crore as of 31 March 2026. Net income before risk provision rose 26.42 % to Rs 3,95,972.10 crore, and the RBI transferred Rs 2,86,588.46 crore to the Centre. The dividend is intended to provide fiscal space amid higher crude‑oil prices, global economic uncertainty and the West Asia crisis, while the RBI also raised its contingent risk buffer to 6.5 % of the balance‑sheet size.

The move follows a board meeting chaired by Governor Sanjay Malhotra, which reviewed the RBI’s performance and macro‑economic outlook, and comes alongside revised dividend guidelines for commercial banks that allow up to 75 % of net profit to be distributed as dividends.