The Reserve Bank of India approved a dividend transfer of Rs 2.87 lakh crore to the Central Government for FY26, reducing its contingency risk buffer to 6.5%.

The Reserve Bank of India is set to transfer a record surplus to the government this fiscal year, but economists believe it won't suffice to meet the fiscal deficit target.

Indian bonds rise as expectations of a record RBI surplus transfer ease rate-hike fears amid economic pressures.