Mumbai, May 21: The Reserve Bank of India (RBI) is poised to pay a record surplus dividend to the central government for the fiscal year 2026, with estimates ranging between ₹2.7 lakh crore and ₹3.5 lakh crore, according to a report.
NDTV Profit reported that the RBI board is scheduled to meet on Friday to discuss the proposed dividend transfer to the government. If the board approves the upper limit of the potential dividend, it will mark the largest amount ever transferred by the central bank to the government.
Last year, the RBI transferred ₹2.69 lakh crore to the central government. This significant increase in the projected dividend comes after a year in which the RBI benefited from currency volatility, foreign exchange operations, and high yields from investments.
A major factor contributing to the estimated dividend is the nearly 10% depreciation of the rupee against the US dollar during fiscal year 2026. This depreciation reportedly enhanced the valuation of the RBI’s foreign exchange assets and expanded its balance sheet.
The central bank has also gained from actively intervening in currency markets by selling dollars to curb the excessive weakness of the rupee. During fiscal year 2026, India’s foreign exchange reserves grew by approximately 3%, reaching around $688 billion, further strengthening the RBI’s income.
The report noted that, in addition to foreign exchange operations, income from investments and currency printing activities also contributed to the estimated surplus. Over the past three financial years, the dividend payments made by the RBI to the government have more than tripled, becoming a significant source of non-tax revenue for the center.
Meanwhile, an earlier report this year indicated that the RBI’s higher dividend payments have helped maintain strong non-tax collections for fiscal year 2026. It was estimated that the central bank’s dividend transfer would remain at a high level of ₹2-2.5 lakh crore in fiscal year 2027, compared to approximately ₹2.7 lakh crore in fiscal year 2026.
However, the RBI has not officially commented on the expected payment.
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