RBI posts record dividend to government on strong earnings | Capital Market News

The Reserve Bank of India (RBI) has paid a record dividend of Rs. 2.87 trillion ($30.1 billion) to the government, according to its latest annual report. This surpasses last years transfer of Rs. 2.69 trillion, marking the highest payout ever.

The surge in earnings came from stronger interest income and large foreign exchange gains. Interest income rose 11.81% to Rs. 2.36 trillion in FY26, with interest earned on rupee bonds jumping 37.66% to Rs. 1.18 trillion. Meanwhile, gains from foreign exchange transactions climbed to Rs. 1.68 trillion, up from Rs. 1.11 trillion a year earlier.

The RBI books profits when it sells dollars from its reserves at higher exchange rates than when they were purchased. These gains add to its surplus, which is then transferred to the government, providing a significant boost to fiscal resources.

 

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