Bimal Jalan panel recommends review of economic capital framework every five years

The Bimal Jalan panel of the Reserve Bank has recommended that the revised economic capital framework will be reviewed every five years. The RBI, Under the revised framework, decided to transfer 52,637 crore rupees excess provisions to the government. 

The panel's report, which was released by the central bank, also recommended that the RBI accounting year (July-June) may be brought in sync with the fiscal year



(April to March) from the next financial year. This could reduce the need for interim dividend being paid by the RBI.

The Central Board of the RBI has accepted all the recommendations of the committee headed by Jalan, a former central bank governor. Earlier, the board had approved the transfer of 1.76 Lakh crore rupees dividend and surplus reserves to the government.