The Reserve Bank of India (RBI) will pay a dividend of Rs 57,000 crore to the central government in the current financial year. This was approved at a board meeting chaired by RBI Governor Shaktikanta Das on Friday. These funds will be used by the government to meet its financial needs in the event of a sharp fall in government revenue due to the corona. In fact, the Center has projected a budget of Rs 60,000 crore this year from other financial institutions, including the RBI.
RBI earns huge revenue from currency trading and bond trading. It keeps some amount for its activities and provides the rest for the financial needs of the Central Government. Thus, last year, it paid a dividend of Rs 1.76 lakh crore. The central government has been relying on the RBI for funding. This order requires an interim dividend. As a result, the RBI repeatedly pays interim dividends to the government.