RBI Transfers ₹2.87 Lakh Crore Dividend to Government, Highest Ever Payout

In a significant boost to the Centre’s finances, the Reserve Bank of India (RBI) has approved a record surplus transfer of ₹2.87 lakh crore to the Government of India for the financial year 2025-26, offering crucial fiscal support at a time of global economic and geopolitical uncertainties.

The decision was taken at the 623rd meeting of the Central Board of Directors of the RBI , chaired by Governor Sanjay Malhotra . The record payout marks a steady rise in the central bank’s contributions to the government over recent years, reflecting stronger earnings and a robust balance sheet position.

For comparison, the RBI had transferred ₹2.69 lakh crore for the previous year 2024 25, which itself was significantly higher than the ₹2.1 lakh crore dividend for 2023-24. In 2022-23, the surplus transfer stood at ₹87,416 crore , highlighting a sharp upward trend in recent years.

According to the central bank, the net income before risk provisions and transfers to statutory funds stood at ₹3,95,972.10 crore in 2025 26, compared to ₹3,13,455.77 crore in the previous financial year. This strong income performance contributed to the higher surplus available for transfer.

The RBI also reported that its balance sheet expanded by 20.61 percent , reaching ₹91,97,121.08 crore as of March 31, 2026, indicating significant growth in its overall financial operations.

The record dividend is expected to provide the government with greater fiscal flexibility, especially in managing development priorities and navigating external economic pressures. The payout reinforces the RBI’s role not only as the country’s monetary authority but also as a key contributor to public finances through surplus transfers.

Overall, the announcement signals a period of strong financial performance for the central bank, while offering the government a timely boost to support its fiscal management objectives.