RBI ACCOUNTING YEAR "EMPOWER IAS"

In news:

• The Reserve Bank of India (RBI) has decided to change its accounting year from July-June to April- May.

More from the news:

• Accordingly, the next accounting year will be a nine-month period which starts from July 2020 and ends on March 31, 2021. Thereafter, all the financial years will start from April every year, the RBI said recently.
• The Bimal Jalan Committee on Economic Capital Framework (ECF) of the RBI had proposed a more transparent presentation of the RBI’s annual accounts and change in its accounting year from July to June to April to March from the financial year 2020-21.
• While the RBI accounts will now be aligned with the central government accounts, experts said the change in the fiscal year could reduce the need for interim dividend being paid by the RBI. The payment of an interim dividend may then be restricted to extraordinary circumstances.