Context: Reserve Bank of India (RBI) approved record transfer of ₹2.86 lakh crore surplus/dividend to the Central Government for Financial Year 2025-26 after maintaining adequate risk buffers.
1. Key Highlights:
- Surplus transfer: ₹2,86,588 crore (all-time high).
- About 6.7% higher than previous year.
- Contingent Risk Buffer (CRB) maintained at 6.5%.
2. Basics — RBI Surplus Transfer:
- Reserve Bank of India earns through:
- Government securities
- Foreign exchange reserves
- Liquidity operations
- Surplus transferred to Centre under Section 47 of Reserve Bank of India Act, 1934.
3. Committees:
- First examined by Y.H. Malegam Committee.
- Present Economic Capital Framework based on Bimal Jalan Committee (2018) recommendations.
- Recommended Contingent Risk Buffer range: 5.5%–6.5%.
