Following Garg's exit, the committee prepared a "fresh report", the source said, and all members were "more or less" unanimous on the panel's recommendations, ending a stalemate that had developed over the past few months. This means that the Union government may not get a windfall gain it was expecting from the RBI reserves if the committee's recommendations are accepted by the RBI central board.
The RBI is expected to take a call on the dividend transfer to the central government in its board meeting. The meeting will approve the audited finances of the central bank for the July-June period, which is the RBI's financial year.
Earlier in February, the central bank had transferred Rs 28,000 crore as interim dividend to the government, in addition to Rs 40,000 crore dividend paid in 2018-19. In 2017-18, the government had received Rs 40,659 from the RBI as dividend.
Initially, the finance ministry, then led by Garg, had expected a transfer of around Rs 3 trillion from the RBI's reserve funds, which was at the heart of a conflict between the regulator and the government last year.