Budget 2026–27: RBI Surplus, PSU financial Dividends Seen Tad Higher 

Dividend and surplus transfers from the Reserve Bank of India, nationalised banks, and financial institutions are budgeted slightly higher in 2026–27, with the increase driven primarily by a larger surplus transfer from the central bank, while payouts from public sector banks and financial institutions remain broadly steady.

The Union Budget estimates dividend and surplus receipts from the Reserve Bank of India, nationalised banks, and financial institutions at ₹3.16 trillion in 2026–27, compared with ₹3.05 trillion in 2025–26. The year-on-year increase of just over ₹100 billion reflects an expectation of firm surplus position at the central bank, supported by income from foreign exchange management, and higher interest earnings.

In contrast, Budget 2025–26 had projected dividend and surplus transfers from the Reserve Bank of India, nationalised banks, and financial institutions at ₹2.56 trillion. The upward revision highlights the inherent variability of central bank transfers, which tend to fluctuate with financial market conditions and balance sheet dynamics.

The higher surplus from the Reserve Bank of India plays an important role in lifting overall non-tax revenue estimates in the Budget. Dividend and surplus receipts remain among the most volatile components of non-tax revenue.