<ul><li>RBI dividend transfer formula based on Bimal Jalan-panel's ECF recommendations has stood the test of time and minor tweaks may be made in the future.</li><li>The dividend transfer to the government is calculated based on maintaining the Contingent Risk Buffer (CRB) between 5.5 to 6.5 per cent of the RBI's balance sheet. The RBI board recently reviewed the ECF to determine the surplus transfer to the government.</li><li>RBI is set to announce its dividend transfer for the 2024-25 fiscal year to the government, which could be higher than the budgeted ₹2.56 lakh crore. In the previous fiscal year, RBI transferred a record ₹2.1 lakh crore, more than double the transfer made in the preceding year.</li><li>The source mentioned the need for some alterations in the dividend transfer formula considering the current economic growth, indicating that RBI is working on potential tweaks to the existing panel recommendations.</li></ul>

RBI dividend formula based on Jalan panel stood test of time, minor tweaks likely

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