<h1>Central bank accounting: prudence-driven revaluation, provisioning and rule-based surplus policy shape balance-sheet resilience and disclosures.</h1> Accounting frameworks for central banks vary widely; key policy choices affecting capital and income recognition include revaluation frequency, treatment of unrealised gains and losses, provisioning methodology, and surplus distribution. RBI's approach under its statutory framework and the Economic Capital Framework emphasises prudence: daily translation of foreign currency and gold, periodic mark-to-market of domestic securities, non-recognition of unrealised gains as income, charging unrealised losses to contingency provisions, separation of Issue Department accounts, and rule-based surplus transfers, with disclosures balancing transparency and confidentiality.