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As on : 30-Sep-2026
Economy - Reports
30-Sep-2026     13:37

RBI revises WMA limits for states

A Reserve Bank of India (RBI) committee has suggested an increase of 11.2% to the aggregate Ways and Means Advances or WMA limit for states, bringing it to Rs 67,839 crore, to facilitate the management of transient cash flow discrepancies. The Reserve Bank of India (RBI) has been providing WMA to State Governments to address temporary mismatches in their cash flows. Following prior Advisory Committee recommendations, the RBI adjusted the aggregate WMA limits for the states from Rs 32,225 crore to Rs 47,010 crore, effective April 1, 2022. Subsequently, a Reserve Bank-convened Group of select State Finance Secretaries revised the aggregate WMA limit to Rs 60,1182 crore, effective July 1, 2024. The Reserve Bank may consider conducting an annual review of the WMA limits using the methodology proposed by this Committee, it stated.

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