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RBI Board Approves 2026-27 Budget & Utkarsh 3.0 Strategy in Patna Meeting

The Reserve Bank of India's Central Board has approved the Bank's budget for the 2026-27 accounting year. It also greenlit the Medium Term Strategy Framework, known as Utkarsh 3.0, which will guide the Bank from 2026 to 2029. The 622nd Board meeting, held in Patna, assessed the evolving global and domestic economic landscape and associated challenges. The meeting was attended by the RBI's top leadership and government representatives.

Key Points: RBI Approves Budget & Utkarsh 3.0 Strategy for 2026-29

  • Budget for 2026-27 approved
  • Utkarsh 3.0 strategy for 2026-29
  • Meeting assessed global & domestic economic scenario
  • Held in Patna under Governor's chairmanship
3 min read

RBI Central Board approves Bank's 2026-27 budget, Utkarsh 3.0 strategy framework

RBI Central Board approves Bank's budget for 2026-27 and the Utkarsh 3.0 medium-term strategy framework. Meeting chaired by Governor Sanjay Malhotra.

"The Board approved the Bank's budget for the accounting year 2026-27 and also the Bank's Medium Term Strategy Framework (Utkarsh 3.0) for the period 2026-29 - RBI Press Release"

New Delhi, March 20

The Central Board of Directors of the Reserve Bank of India approved the Bank's budget for the accounting year 2026-27 and also the Bank's Medium Term Strategy Framework for the period 2026-29.

According to an RBI press release, the Board's 622nd meeting was held on Friday in Patna. The session was conducted under the chairmanship of RBI Governor Sanjay Malhotra.

"The Board assessed the emerging global and domestic economic scenario, including the evolving geopolitical developments and their impact on financial markets, along with associated challenges. The Board approved the Bank's budget for the accounting year 2026-27 and also the Bank's Medium Term Strategy Framework (Utkarsh 3.0) for the period 2026-29," the release said.

The high-level meeting saw the participation of the RBI's top executive leadership and government representatives. In attendance were Deputy Governors T. Rabi Sankar, Swaminathan J., Poonam Gupta, Shirish Chandra Murmu and other Directors of the Central Board - Anuradha Thakur, Secretary, Department of Economic Affairs; Revathy Iyer, Sachin Chaturvedi and Ravindra H. Dholakia.

Pertaining to the economic strides, earlier in the month, the RBI announced that multiple state governments have raised a total of Rs 45,960 crore through the auction of State Government Securities (SGS).

Among the participating states, Andhra Pradesh had raised Rs 3,000 crore through three securities with tenors of 13, 15 and 17 years. Arunachal Pradesh had raised Rs 190 crore with a 20-year tenor, while Assam had borrowed Rs 900 crore through a 15-year security. Delhi had raised Rs 1,000 crore via a 10-year security.

Gujarat had raised Rs 2,000 crore through two securities with tenors of seven years and six months, and 11 years, with an additional borrowing option of Rs 500 crore for each. Haryana had issued securities worth Rs 3,000 crore across tenors of four, 12 and 18 years. Meanwhile, Jammu and Kashmir had borrowed Rs 900 crore with a 15-year tenor.

Karnataka is the largest borrower in the auction, raised Rs 10,000 crore through a mix of fresh securities and re-issues. These include re-issuances of the 7.31 per cent Karnataka SGS 2033, 7.38 per cent Karnataka SGS 2034, and 7.48 per cent Karnataka SGS 2037, along with other securities.

Other states participating in the auction include Kerala, which had raised Rs 1,000 crore through a 23-year security, and Madhya Pradesh, which had borrowed Rs 5,800 crore through securities with tenors of 10, 14 and 21 years.

Smaller issuances include Rs 120 crore by Mizoram with a 15-year tenor and Rs 250 crore by Sikkim with a 10-year tenor.

Punjab had raised Rs 2,000 crore through the re-issue of the 7.62 per cent Punjab SGS 2032, originally issued in November 2022. Tamil Nadu had raised Rs 8,000 crore through a combination of fresh issuances and re-issued securities, including the 7.23 per cent Tamil Nadu SGS 2033 and the 7.63 per cent Tamil Nadu SGS 2056.

Additionally, Tripura had borrowed Rs 800 crore through a 15-year security, while Uttar Pradesh had raised Rs 3,500 crore via the re-issue of securities maturing in 2037, 2041 and 2046. West Bengal had raised Rs 3,500 crore through securities with tenors of 18 and 22 years.

- ANI

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Reader Comments

P
Priya S
The detailed state borrowing data is interesting. Karnataka borrowing ₹10,000 crore is huge! Makes you wonder about the fiscal health of states and if this debt is for productive infrastructure or just to fill budget gaps.
R
Rohit P
Meeting in Patna is a nice touch – taking important discussions outside Delhi. But honestly, as a small business owner, I just want easier access to credit and lower interest rates. Hope Utkarsh 3.0 delivers on the ground.
S
Sarah B
The framework is named well – 'Utkarsh' means excellence. However, I respectfully hope the strategy includes concrete measures for financial inclusion beyond metros and better digital banking security. The last framework felt a bit top-heavy in its reporting.
K
Karthik V
All these states taking on long-term debt (20-22 years!). Future generations will be paying this off. RBI must ensure strict monitoring so the funds are used properly. Good planning by the central board is the first step.
N
Nisha Z
The economic strides mentioned are positive. But when will the common person feel this progress? My EMI hasn't gone down. The strategy should translate to tangible benefits for household budgets. Fingers crossed! 🤞

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