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Know how to acquire Foreign Exchange for travel, education, medical treatment & investment overseas

With the substantial liberalization of Current Account Transactions in Foreign Exchange even for Resident Indians, you can now liberally acquire Foreign Exchange for a host of purposes without seeking any prior permission of the Reserve Bank of India (RBI). Such Forex can be released by Authorized Dealer Banks on a simple Application cum Declaration Form A-2 prescribed for the purpose under FEMA guidelines. Listed hereunder are the latest norms and guidelines announced by RBI for such transactions:


  • You can avail of Foreign Exchange upto US $ 10,000 in any Calendar Year, for tourism or private travel to any country, other than Nepal and Bhutan.

  •  For business travel or attending a conference or specialized training overseas, you are allowed US $ 25,000 per trip.

  • You can buy foreign exchange upto US $ 1,00,000 in case of immigration or employment abroad.   
  • Upon return from travel abroad, unspent Foreign Exchange brought back to India should be returned within 180 days from the date of your return. However, you can indefinitely retain Foreign Currency Notes or Traveller’s Cheques (TCs) upto US $ 2,000 for future use. You can also retain Foreign Coins indefinitely without any limit.   


  • You can use your International Credit Cards (ICCs) for making payments towards expenses, while on visit outside India, to the extent of the limit of the card (without any separate monetary or item-wise ceiling). However, ICCs cannot be used for purchase of prohibited items like lottery tickets, banned magazines, payment of call-back services.

  • You can also use your ICCs, while in India, for making payment in Foreign Exchange through Internet for purchase of books, downloadable software and import of other permitted items under Foreign Trade Policy.


  • You can avail Foreign Exchange upto US $ 1,00,000 or upto the estimate from the institution abroad, whichever is higher, per academic year.

  • You can avail upto US $ 1,00,000 to meet any expenses for medical treatment abroad. Banks can even release a higher amount on the basis of an estimate from a Doctor or Overseas Hospital.

  • You can further avail upto US $ 25,000 per person for meeting lodging, boarding and travel expenses of the patient and also the accompanying attendant.

  • You can also remit upto US $ 1,00,000 for maintenance of your close relatives abroad.



  • You can buy Foreign Exchange for the above purposes from any Authorized Bank or Money Changer. If the rupee equivalent exceeds Rs.50,000, the entire payment must be made by Crossed Cheque, Banker’s Cheque, Pay Order or Demand Draft only.

  • You can bring Foreign Exchange into India without any limit. However, if the value of Cash Currency exceeds US $ 5,000 and/or the Cash plus TCs exceed US $ 10,000, it should be declared on arrival, to the Customs Authorities at the Airport in Currency Declaration Form. 
  •  Your Foreign Exchange earnings or gifts received from close relatives can be retained in India in Foreign Currency in an Exchange Earner’s Foreign Currency (EEFC) Account with a Bank in India.  



  • Under this Scheme, all Resident Individuals (including minors) are freely allowed remittances by up to US $ 200,000 per financial year (April-March) for any permitted current or capital account transactions (explained hereunder) or a combination of both. You can also consolidate remittances under this facility in respect of your family members.

  • You can also open, maintain and hold foreign currency accounts with a bank outside India for coordinating remittances and investments under this Scheme, without prior approval of RBI.

  • You can freely acquire and hold immovable property, shares (listed or otherwise), units of Mutual Funds, debt instruments, securities or any other assets outside India, without prior approval of RBI.

  • You can also use the limit of US $ 2,00,000 under this Scheme for making any gifts or donations to any person outside India.

  • Remittances under the Scheme can be used for purchasing objects of art, subject to the provisions of other applicable laws.

  • An individual, who has availed of a loan abroad as a non-resident, can repay the same under the Scheme, on return to India as a resident.

  • Outward remittances can be made either in the resident individual’s own name or in the name of a beneficiary abroad, by using the Application cum Declaration Form Prescribed for the purpose. It is mandatory to have PAN make remittances under the Scheme.



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