RBI to transfer Rs 50,000Cr surplus funds to Centre

New Delhi: The Reserve Bank of India (RBI) on Wednesday announced the transfer of surplus funds amounting to Rs 50000 crore for the year ended June 30, to the Government of India.

The decision was taken by the RBI’s Central Board of Directors in its meeting held earlier in the day.

Last year, the RBI had transferred surplus funds worth over Rs.40,000 crore to the Centre in two installments-one in August last year and another in March this year. However, the August tranche of the funds transferred was lower on account of repercussions after the November 2016 demonetisation drive.

The central government in consultation with the Reserve Bank deliberated over its borrowing programme for 2018-19 in March this year and finalised its borrowing calendar for the first half of 2018-19 (April-September).

After making a careful assessment of its financial needs for the first half, the government’s gross G-Sec borrowing will be only Rs. 2,88,000 crore in H1 of 2018-19, the Ministry of Finance said.

This makes up only 47.5 percent as against 60-65 percent share in this period in previous years. (ANI)