RBI Dividend: The meeting of the Reserve Bank of India board is going to be held today i.e. on May 19, 2023. Many major decisions can be taken during this meeting. One of these decisions can increase the Modi government’s debt to double the official estimates due to RBI’s own profit and profit from the sale of dollars. This will work to bridge the fiscal deficit.
According to Bloomberg’s survey report, economists estimate a surplus transfer of $ 10.9 billion or Rs 900 billion for the March quarter of the financial year. This is higher than the government’s estimate of $6.2 billion. Last year, the RBI approved a payout of Rs 303.1 billion, the lowest in a decade.
Will help in meeting GDP target
RBI board meeting is on Friday i.e. today. During the meeting, there can be discussion about high interest rate and reduction in global demand. A High Dividend Payout Prime Narendra Modi will help the government to reduce the fiscal deficit as well as meet the target of 5.9 percent of gross domestic product. A year before this it was 6.4 percent and will increase it before the 2024 elections.
Government expects high dividend
It has been said in the Bloomberg report that RBI will issue a lot of dividend, so that it will be of great help in reducing the borrowing of the government. Madhavi Arora, Economist, MK Global Financial Services, said that FY2022-23 will benefit from near-record forex sales. He says that Dividend can bring in additional revenue of 0.2 per cent to GDP. This can compensate for lower investment and slower revenue.
RBI’s Dividend Payout Estimate
According to a Bloomberg survey, it is estimated that RBI’s dividend payout could be anywhere between $6.8 billion and $21.4 billion, higher than the previous record set in 2018–19. It has sales of over $206 billion during the eleven-month period till February this year, as against less than $97 billion in fiscal year 2021—22.
Read also
Get the more latest Business news updates