SBI pays INR 8,077 crore as dividend to government for FY 20
SBI pays INR 8,077 crore as dividend to government for FY 2024-25
Union Finance Minister Nirmala Sitharaman on Monday received a dividend cheque of INR 8,076.84 crore on behalf of the government from the State Bank of India (SBI)
NEW DELHI — Union Finance Minister Nirmala Sitharaman on Monday received a
dividend cheque of INR 8,076.84 crore on behalf of the government from the
State Bank of India (SBI) for the financial year 2024-25.
The cheque was presented to the Finance Minister by SBI
chairman CS Setty at her office in the presence of senior officials.
"Smt @nsitharaman receives a dividend cheque of Rs
8076.84 crore for FY 2024-25 from CS Setty, Chairman - @TheOfficialSBI,"
Nirmala Sitharaman Office posted on social media platform X.
The robust dividend came as India’s top public sector
companies in the financial, power and energy sectors have recorded a robust
growth in profit during the January-March quarter of 2024-25, which is expected
to further strengthen the government’s fiscal position.
The country’s largest lender SBI and insurance giant Life
Insurance Corporation of India (LIC) led the charge with a net profit of INR
18,643 crore and INR 19,013 crore, respectively. SBI’s net profit for the
financial year 2024-25 has now soared to INR 70,901 crore while LIC has recorded
an impressive net profit of INR 48,151 crore for the year.
In the energy sector, Coal India earned a net profit of
INR 9,604 crore during the fourth quarter while Indian Oil Corporation (IOC)
registered a net profit of INR 7,265 crore with upstream oil exploration giant
ONGC registering a net profit of INR 6,448 crore during the quarter.
In the power sector, the country’s largest electricity
producer, NTPC recorded a net profit of INR 7,897 crore while Power Finance
Corporation (PFC), which also comes under the Ministry of Power, earned a
robust INR 8,358 crore. Power Grid Corporation of India also registered a
strong profit of INR 4,143 crore during the Jan-March quarter.
Apart from higher contributions to the government’s
finances through higher dividends, the large public sector enterprises boost
revenue by higher payments of corporate taxes.
Besides, the large capex plans of these government-owned
enterprises play a key role in driving growth and creating jobs in the economy.
Meanwhile, the government has succeeded in meeting its
fiscal deficit target for 2024-25 fixed at 4.8 per cent of the gross domestic
product (GDP) in the revised budget estimate for the year, data released by the
Controller General of Accounts showed recently.
According to the CGA data, the central government
collected INR 30.36 lakh crore as revenue as both tax and non-tax receipts
which works out to 98.3 per cent of the revised Budget Estimates (RE). The
earnings of PSUs constitute an important part of these non-tax receipts.
