RBI’s balance sheet grows 11% to Rs 70.48 lakh crore in FY24.
The Reserve Bank of India’s annual report has revealed an 11.08% expansion in its balance sheet for the fiscal year 2023-24. According to the figures, RBI’s balance sheet rose to Rs 70.48 lakh crore by the end of March 2024 from Rs 63.44 lakh crore in the previous fiscal year.
In US dollar terms, the central bank’s holdings have swelled to $844.76 billion, nearly 2.5 times the size of Pakistan’s entire gross domestic product, which the International Monetary Fund estimates at $338.24 billion for 2023. The rate of growth has taken RBI’s balance sheet to 24.1% of India’s GDP.
Additionally, the report highlighted that RBI registered a 17.04% rise in income while expenditure fell by 56.3% in FY24. On the economic outlook, RBI stated that fundamentals remain robust to support sustained growth going ahead.
However, it cautioned that food inflation continues to pose challenges due to recurrent supply shocks in aligning headline inflation to target swiftly. The banking regulator also noted the government’s impetus on capital spending and economic agents’ optimism boosting investment and demand.
For the current fiscal year, RBI has projected real GDP growth at approximately 7%, stating that India is well-poised to maintain its expansion trajectory over the next decade, backed by macroeconomic and financial stability. The rising financial strength reflects RBI’s ability to manage policy challenges for the benefit of the economy effectively.
