The Reserve Bank of India’s (RBI) board on Friday approved the sum of Rs 87,416 crore as dividend to the Centre for 2022-23. 

This is nearly triple of what it paid a year ago, with the dividend payout being at Rs 30,307 crore in FY22.

The RBI also decided to raise the contingency risk buffer to 6% from 5.5% for 2021-22.

“The board approved the transfer of Rs 87,416 crore as surplus to the central government for accounting year 2022-23, while deciding to keep the contingency risk buffer at 6%,” RBI said in a statement.

The board also reviewed the global and domestic economic situation and associated challenges, including the impact of current global geopolitical developments.

The RBI’s earnings come from interest earned on bond holdings, purchase and sale of government securities and from its dealings in the forex market. Part of these earnings is set aside for its operational and contingency needs, while the rest is transferred to the government in the form of a dividend.