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    RBI fixes H2 Ways and Means Advances limit for government at Rs 50,000 cr

    Synopsis

    The Reserve Bank of India has set the WMA limit for the second half of 2026-27 at Rs 50,000 crore. This decision aims to assist the central government in managing temporary financial mismatches. Furthermore, the RBI may issue new market loans when 75 percent of this limit is utilised. The RBI retains the flexibility to adjust the WMA limit as conditions change.

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    The Reserve Bank of India has set the WMA limit for the second half of 2026-27 at Rs 50,000 crore.ANI
    The Reserve Bank of India has set the WMA limit for the second half of 2026-27 at Rs 50,000 crore.
    Mumbai: The Reserve Bank on Friday fixed the limit for Ways and Means Advances (WMA) for the second half of 2026-27 at Rs 50,000 crore to help the central government meet any temporary mismatch in receipts and payments.

    The RBI may trigger fresh floatation of market loans when the central government utilises 75 per cent of the WMA limit, the apex bank said in a statement.

    "The Reserve Bank of India, in consultation with the Government of India, has decided that the limit for Ways and Means Advances (WMA) for the second half of the financial year 2026-27 (October 2026 to March 2027) will be Rs 50,000 crore," it said.


    The RBI, in consultation with the central government, retains the flexibility to revise the WMA limit at any time, taking into consideration the prevailing circumstances, it added.

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