Less-cash society: Retail electronic payments nearly doubled, says RBI

By: | Published: August 30, 2016 6:16 AM

The Reserve Bank of India's (RBI's) balance sheet expanded by 12.3% to over Rs 32.43 lakh crore for the year ended June 2016, the central bank's annual report released on Monday revealed.

Indian rupee vs US dollarThis is the fastest expansion of the RBI’s balance sheet since the year ended June 2012, when it had expanded by 22.4% (y-o-y). The RBI follows a July-to-June accounting year.

The Reserve Bank of India’s (RBI’s) balance sheet expanded by 12.3% to over Rs 32.43 lakh crore for the year ended June 2016, the central bank’s annual report released on Monday revealed.

This is the fastest expansion of the RBI’s balance sheet since the year ended June 2012, when it had expanded by 22.4% (y-o-y). The RBI follows a July-to-June accounting year.

The break-up of this expansion shows that while assets and liabilities of the issue department, which is responsible for currency management, increased by 13.7% (y-o-y) to Rs 17.1 lakh crore, the same for the banking department grew 8.4% to Rs 15.35 lakh crore.

Overall, while the increase in liabilities was mostly a function of a 15.9% (y-o-y) rise in notes in circulation and a 13.4% (y-o-y) rise in the currency and gold re-valuation account, expansion in assets was led by an 8% and 35.6% rise in foreign and domestic investments, respectively.

On the other hand, while 2015-16 (July-June) saw the RBI’s net income growth moderating to 2.03% (y-o-y) from 22.65% (y-o-y) in FY15, a 12.23% rise in expenditure meant the central bank’s surplus falling marginally to Rs 65,876 crore, compared with Rs 65,896 crore in FY15.

This is the first decline in RBI’s surplus since FY11, when it had dropped by almost 20% (y-o-y) to just over Rs 15,000 crore.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition