Economic Capital Framework (ECF)

Recently, a controversy erupted when the Reserve Bank of India (RBI) decided to transfer a surplus of Rs 1.76 lakh crore to the Government of India exchequer.

  • The RBI transfers the “surplus”, i.e., the excess of income over expenditure, to the government, in accordance with Section 47 (Allocation of Surplus Profits) of the Reserve Bank of India Act, 1934.
  • In 2019, RBI formed a committee under the chairmanship of Bimal Jalan to review the provisions under the Economic Capital Framework. The objective of the economic capital framework is to build harmony between the central bank’s need for autonomy and the Government's objectives ....
Do You Want to Read More?
Subscribe Now
To get access to detailed content
Buy April 2021 Issue

Already a Member? Login here

Take Annual Subscription and get the following Advantage
The annual members of the Civil Services Chronicle can read the monthly content of the magazine as well as the Chronicle magazine archives.
Readers can study all the material before the last six months of the Civil Services Chronicle monthly issue in the form of Chronicle magazine archives.
Be an Annual Subscriber

Related Content

Indian Economy & Socio-economic Development