14 Other equity
(₹ In Crore)
		As at 31 March
Particulars		2022		2021
Reserves and surplus:
General reserve
Balance as at the beginning of the year		5,887.60		5,431.60
Add: Transferred from surplus in Statement of Profit and Loss		502.00		456.00
Balance as at the end of the year		6,389.60		5,887.60
Retained earnings
Balance as at the beginning of the year		18,861.25		14,750.44
Profit for the year		5,018.87		4,554.59
Items of other comprehensive income recognised directly in retained earnings
Actuarial gains/(losses) of defined benefit plans		13.42		12.22
Less: Appropriations
Transfer to General reserve		502.00		456.00
Final dividend for the year ended 31 March 2021		4,051.14		–
Total appropriations		4,553.14		456.00
Balance as at the end of the year		19,340.40		18,861.25
Other reserves:
Cash flow hedging reserve [See note 33]		54.33		148.90
Costs of hedging reserve [See note 33]		5.93		(58.06)
FVTOCI reserve
Balance as at the beginning of the year		88.43		(413.13)
Net (losses)/gains on FVTOCI equity securities		537.98		501.56
Balance as at the end of the year		626.41		88.43
Share based payment reserve
Balance as at the beginning of the year		16.91		10.01
Add: Recognised during the year		15.36		6.90
Balance as at the end of the year		32.27		16.91
Treasury shares
Balance as at the beginning of the year		(32.14)		(26.62)
Add: Changes during the year		(37.37)		(5.52)
Balance as at the end of the year		(69.51)		(32.14)
		26,379.43		24,912.89

Nature and purpose of reserve:

General reserve

General reserve is free reserve available for distribution as recommended by Board in accordance with requirements of the Companies Act, 2013. Mandatory transfer to general reserve is not required under the Companies Act, 2013.

Retained earnings

Retained earnings is a free reserve. This is the accumulated profit earned by the Company till date, less transfer to general reserve, dividend and other distributions made to the shareholders.

Cash flow hedging reserve and Costs of hedging reserve

It represents the effective portion of the fair value of forward/option contracts designated as cashflow hedge.

FVTOCI reserve

The Company has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated within the FVTOCI reserve within equity.

Share based payment reserve

Share based payment reserve is created as required by Ind AS 102 ‘Share Based Payments’ on the employee stock option scheme operated by the Company for its employees.

Treasury shares

The reserve for shares of the Company held by the Bajaj Auto ESOP Trust (ESOP Trust). Company has issued employees stock option scheme for its employees. The equity shares of the Company have been purchased and held by ESOP Trust. Trust to transfer in the name of employees at the time of exercise of option by employees.