The Centre will seek interim dividend from the Reserve Bank of India, Economic Affairs Secretary Subhash Chandra Garg has said.
With the central bank just half way through its fiscal year (July-June), it is, however, premature to comment on what would be the quantum of the ask, Garg told reporters here on the sidelines of a PHDCCI event.
Since 2014, the RBI has not retained any of its surplus/earnings and has made sure that the entire surplus got transferred (as dividend) to the Central government, economy watchers said.
Meanwhile, Garg also said that the government will infuse more capital in public sector banks through the upcoming supplementary demand for grants, which is expected to be tabled in the Lower House on Thursday.
“Yes…wait for the supplementary demand for grants tomorrow,” Garg said when asked about fresh capital infusion.
On the proposed expert panel to examine RBI’s Economic Capital Framework (ECF), Garg said the panel has almost been finalised and an announcement will soon be made.
After a nine-hour meeting in mid-November, the RBI’s Central Board had decided to constitute a committee of experts to examine the ECF. The membership and terms of reference of ECF were to be jointly determined by the government and the RBI. It will determine the appropriate levels of reserves the central bank ought to hold.
Garg also asserted that Centre had never ever asked the RBI to share a portion of its reserves with the Central Government.
On the softening of global brent crude oil prices to $52 a barrel, the lowest since October 2017, Garg said this is not going to yield any bonanza for the Indian exchequer.