Pension Revision in RBI

We are pleased to share that pension in RBI has been revised for all RBI Pensioners. As per PIB notification, It is to be implemented from November 22. This follows the earlier update dated 21st June 2023, wherein the Ministry of Finance approved pension enhancement for pre-1.11.2017 pensioners effective from June 2023.
The first pension revision took place in 2019, granting employees a 10% increase in pension along with Dearness Relief (DR) linked to each of the three wage revisions in 2002, 2007, and 2012. A second revision followed in 2023 with a conversion factor of 1.63 when DR was merged at 6352 index points. Since the latest merger is at 8088 points the conversion factor is 1.43 as explained under.

Click to view: Pension-Conversion Factor details (Oct 2025)
StepCalculationResult
DA Index (2022) points merged—8088
Previous DA Index (2017) points merged—6352
Difference8088 − 63521736
Slabs Merged1736 ÷ 4434 slabs
Merger %434 × 0.07%0.3038
Post-merger BP (if BP = 1)1 + 0.30381.3038
Add 10% Increase1.3038 + 0.130381.43418
Rounded Conversion Factor—1.43

Summary: 434 slabs merged at 0.07% per slab, plus a 10% pension increase → Final conversion factor: 1.43

Pension Revision Highlights :

  • Conversion Factor: 1.43
    ( 10% increase in Basic Pension over the last update)
  • Dearness Relief (DR):  21.13% of the revised Basic Pension as per the new DR applicable to Bank Pensioners. The slab method shall no longer be applicable. (DR figure as on October 25)
  • Formula for Gross Pension:
    Gross Pension = (Old BP × 1.43) + (21.13% of Revised BP); as on October 25
  • Effective Date: November1, 2022
  • Arrears: From November 22.
  • This revision strengthens the financial dignity of all RBI pensioners and family pensioners — a community that has long served the institution with dedication and integrity.

RBI Pension Calculator for Revised Basic Pension – October 2025

To help pensioners estimate their revised pension, here’s a simple illustrative calculator. Enter your existing Basic Pension and click Calculate.

RBI Revised Basic Pension Calculator – Oct 2025

Gratitude & Acknowledgment

AIRBIOPF extends heartfelt thanks to the Finance Minister, RBI Governor, Ministry of Finance, CO HRMD, Staff Associations and all those who continue to advocate for pension justice.

This is yet another milestone in our collective journey toward secured and dignified years ahead for all RBI pensioners. We salute the perseverance and unity of all those who have contributed to this cause.

Congratulations to all RBI pensioners!