Two government-owned banks have contributed significantly to the national treasury through dividends.
The State Bank of India (SBI), the country’s largest bank, presented a dividend cheque of Rs 6959.29 crore to Finance Minister Nirmala Sitharaman for the fiscal year 2023-24.
Additionally, Nidhu Saxena, the Managing Director and CEO of Bank of Maharashtra, handed over a cheque of Rs 857.16 crore to the Finance Minister as dividend for the same financial year.
This contribution adds to the significant dividend of Rs 2.1 lakh crore earlier provided by the Reserve Bank of India (RBI) to the government.
State Bank Dividend
This week, the closing price of SBI shares was Rs 836. Its highest price in the last 52 weeks was Rs 912, marking its all-time high.
The dividend yield stands at 1.65%, indicating that if an investor puts Rs 10,000 into this stock, they can expect a yearly dividend of Rs 165.
In May, SBI declared a final dividend of Rs 13.7 per share. This year, the stock has seen a 30% increase in value.
Smt @nsitharaman receives a dividend cheque of Rs 6959.29 crore for FY 2023-24 from @TheOfficialSBI Chairman Shri Dinesh Kumar Khara. pic.twitter.com/sxuXi8xc2Z
— Nirmala Sitharaman Office (@nsitharamanoffc) June 21, 2024
Maharashtra Bank Dividend
Discussing Bank of Maharashtra, this week the stock ended at Rs 65. It offers a dividend yield of 2.15%, implying that if an investor puts Rs 10,000 into this stock annually, they’ll receive a dividend of Rs 215 per year.
In April, the bank announced a final dividend of Rs 1.4 per share. The stock has yielded a 42% return so far this year.
Smt @nsitharaman receives a dividend cheque of Rs 857.16 crore for FY 2023-24 from Shri Nidhu Saxena, MD & CEO – @mahabank. pic.twitter.com/Nb8fghwYtU
— Nirmala Sitharaman Office (@nsitharamanoffc) June 21, 2024
RBI gave Rs 2.11 lakh crore as dividend
In May, the Reserve Bank of India approved a record dividend payment of Rs 2.11 lakh crore to the central government for the fiscal year 2023-24, marking the highest ever dividend payment by the central bank.
This amount is more than double the dividend paid in the previous year, which was Rs 87,416 crore for the fiscal year 2022-23.
The previous highest dividend payment occurred in the fiscal year 2018-19 when the Reserve Bank gave a dividend of Rs 1.76 lakh crore to the government.
