BUSINESS & FINANCE
RBI to pay Rs 50,000 cr dividend to govt for FY18, in line with Budget estimate
The RBI today decided to pay Rs 50,000 crore as dividend to government in line with the Union Budget provisions, helping the Centre stick to its fiscal roadmap.
The Reserve Bank, which follows July-June financial year, has paid about 63 per cent higher dividend than previous year (2016-17). The RBI made a dividend payout of Rs 30,659 crore for the fiscal ended June 2017.
"The Central Board of Directors of the Reserve Bank of India (RBI), at its meeting held on August 8, 2018, approved the transfer of surplus amounting to Rs 500 billion (Rs 50,000 crore) for the year ended June 30, 2018 to the Government of India," the central bank said in an official statement.
Earlier in March, the RBI paid interim dividend of Rs 10,000 crore at the insistence of the government to support fiscal position.
As per the Budget Estimate, the government projected to collect Rs 54,817.25 crore as dividend or Surplus of Reserve Bank of India, Nationalised Banks and Financial Institutions. The government realised Rs 51,623.24 crore under this head in the previous fiscal.
It is to be noted that the RBI transferred a surplus of Rs 30,659 crore as dividend to the government for the year ended June 30, 2017, which was less than half of what it paid in the previous year (Rs 65,876 crore).
T he surplus payout in June 2017 year was low on account of expenses incurred on printing of new currency notes following demonetisation effected on November 9, 2016.
Under the RBI Act, 1934, the central bank is required to pay the government its surplus after making provisions for bad and doubtful debts, depreciation in assets and, contribution to staff and superannuation fund among others.
- India will be back on 7.5% plus growth track this fiscal: Virmani 19 Aug 2018 | PTI
- Intel India trains 99,000 people in artificial intelligence 19 Aug 2018 | PTI
- Rupee might stabilise at 68-69 a dollar: Garg 18 Aug 2018 | PTI
- FCCU shutdown not impacting Jamnagar refining biz:RIL 18 Aug 2018 | PTI
- Infosys CFO Ranganath resigns 18 Aug 2018 | PTI
- India clocked 10.08 pc growth under Manmohan Singh's tenure, shows data 17 Aug 2018 | PTI
- Operators must pay attention to cyber security, reasonableness of charges: Patel 17 Aug 2018 | PTI
- PVR completes acquisition of 71.6% stake of SPI Cinemas 17 Aug 2018 | PTI
- Apollo ties up with Microsoft for AI-powered CDV Risk Score 17 Aug 2018 | PTI
- Jet Airways board to meet on Aug 27 to consider June quarter results 17 Aug 2018 | PTI
Sunday EditionView All
19 Aug 2018 | Kumar Chellappan
A succession war is brewing in the DMK after Karunanidhi’s death, with both Stalin and Alagiri staking a claim to their father’s political legacy. This, along with the churning in the AIADMK after Jayalalithaa’s death, is bound to have an impact on the political landscape of Tamil Nadu in the run-up to 2019 Lok Sabha polls, writes Kumar Chellappan Tamil Nadu politics sans Muthuvel Karunanidhi is like the drama Hamlet without...
STATE EDITIONSView All
19 Aug 2018 | PNS | Ranchi
Yet another girl from the Capital City Khushboo Vijay became the winner of Miss India International Global 2018 and will be representing India next year in Malaysia 2019 for World Finale. The event was held in Guwahati on August 2018...