Bank of Baroda pays Rs.2762 crore Dividend to Government

The Government of India has received Rs.2762 crore dividend from Bank of Baroda. Finance Minister Nirmala Sitharaman on Tuesday received a dividend cheque of Rs 2,762 crore on behalf of the government from the Bank of Baroda for the financial year ended on March 31, 2025.

A dividend is a part of a company’s profit that is given to its shareholders. The Government of India owns a large part of Bank of Baroda (it is a public sector bank). So, when the bank makes a profit and decides to pay a dividend, a portion goes to the Government.

Earlier this month, Finance Minister Sitharaman received a dividend cheque of Rs 8,076.84 crore on behalf of the government from the State Bank of India (SBI) for the financial year 2024-25. RBI also announced to pay Rs 2.7 lakh crore dividend to the government of India.

The Government of India is set to receive a total dividend of Rs 82,995 crore in fiscal year 2025 from listed public sector enterprises including banks and financial companies.

As per reports, the overall dividend payout to shareholders will be around Rs 1.33 lakh crore, lower than Rs 1.38 lakh crore in the previous fiscal.

Dividend Paid by PSUs to Govt: PSUs may pay below dividend to Govt (Actual Amount may Vary)

Company Name	Dividend Amount (₹ Crore)	Previous Year Dividend (₹ Crore)	Change
Indian Oil Corporation (IOC)	2,182	8,727	↓ 75%
Punjab & Sind Bank	47	133	↓ 65%
Bharat Petroleum (BPCL)	2,264	4,754	↓ 53%
Coal India	10,300	9,920	↑
ONGC	9,075	9,075	No Change
State Bank of India (SBI)	8,150	7,035	↑
Life Insurance Corporation (LIC)	7,324	6,104	↑
NTPC	4,137	3,840	↑

Public Sector Banks (PSBs) announced a total dividend of Rs 34,995 crore for the financial year 2024-25 (FY25), which is 25.7% more than the Rs 27,853 crore paid in the previous year.

Out of this amount, the government received Rs 22,775 crore as dividend based on its ownership in these banks. This is a rise from Rs 18,092 crore it received in 2023-24 (FY24), making up around 65% of the total dividend.

The increase in dividend payments was mainly due to higher contributions from banks like Punjab National Bank, Bank of India, and UCO Bank, which increased their payouts by 30% to 100% compared to last year.