The Reserve Bank of India’s (RBI) total assets have increased by 11.08 per cent to Rs 70.48 lakh crore as of March 31, 2024, the central bank said in its annual report released on Thursday. At $844.76 billion, the RBI’s total assets are almost 2.5 times the entire GDP of Pakistan, which has been pegged at around $338.24 billion by the International Monetary Fund.
In FY23, the RBI’s balance sheet stood at Rs 63.44 lakh crore. The regulatory bank noted that its balance sheet has normalised to pre-pandemic levels. It has now increased from 23.5 per cent at the end of March 2023 to 24.1 per cent of India’s GDP at the end of March 2024.
The bank’s revenues increased by 17.04 per cent in FY24, while expenses fell by 56.30 per cent. The RBI’s surplus rose 141.23 per cent on an annualised basis to Rs 2.11 lakh crore in FY24, which it recently transferred to the Centre. In addition, the RBI allocated Rs 42,820 crore to the Contingency Fund in FY24.
The RBI believes that the outlook for the Indian economy remains positive due to continued strengthening in macroeconomic fundamentals. Nevertheless, food inflation remains vulnerable to recurrent supply shocks, preventing headline inflation from converging faster towards the target,” the RBI said. “The government’s sustained investment push coupled with fiscal consolidation and consumer and corporate optimism bode well for investment and consumption demand,” the RBI added.
The RBI projects real GDP growth of around 7 per cent in FY25. The report said that in an environment of macroeconomic and financial stability, the Indian economy is well-positioned to increase growth over the next decade.
“As headline inflation moves closer to the target, it will boost consumption demand, particularly in rural areas,” the report said. The strength of the external sector and buffers in the form of foreign exchange reserves will insulate domestic economic activity from global spillovers.
Comments
0 comment