Government Reaps Record ₹2.56 Lakh Crore Dividend Windfall from RBI and State Banks for FY26

The Indian government has announced a substantial dividend of Rs 2.56 lakh crore from the Reserve Bank of India (RBI) and state-run banks for the fiscal year 2025-26. This payout, revealed by Finance Minister Nirmala Sitharaman during her budget speech, marks a significant increase from the previous year's Rs 2.1 lakh crore. The government aims to leverage this revenue to bolster fiscal consolidation efforts amid rising expenditure and declining nominal growth. This strategic move underscores the government's reliance on RBI dividends as a critical revenue source to maintain fiscal balance. 

 

Source: Money Control