RBI GUIDELINES

Individual customer (Indian resident / Foreigner permanently residing in India) buying Forex for Private trip:

  1. Foreign exchange up to US$ 250,000 is permissible in a financial year for multiple purposes including tourism or private travel to any country other than Nepal and Bhutan on the basis of self-certification under LRS. The availability of limit is considered by combining availment of foreign exchange under different purposes.
  2. For purchasing, currency cash is acceptable only upto Rs. 50,000 per transaction. All purchases within 30 days shall be treated as single transaction
  3. Travelers are allowed to purchase foreign currency notes/coins only up to US$ 3000. Balance amount can be taken in the form of Prepaid Forex card
  4. Documents to be submitted:
    • Passport
    • Address proof such as: Telephone bill/ bank account statement/ letter from recognized public authority/ electricity bill/ ration card/ Letter from employer
    • Copy of Ticket
    • Visa if applicable
    • Self declaration cum undertaking form

Business customer buying Forex:

  1. Visits for international conference, trainings, study tour, etc. are treated as business visits.
  2. Business customers can purchase US$250,000 for a year combined with other availment under LRS to any country other than Nepal and Bhutan
  3. Travellers are allowed to purchase foreign currency notes/coins only up to US$ 3000. Balance amount can be taken in the form of Prepaid Forex card
  4. Documents to be submitted:
    • Passport
    • Memorandum of Association (MOA)
    • Company Pan Card
    • Company Registration documents
    • Letter from MD/CFO giving details of authorized signatories.
    • Foreign Currency request letter signed by authorized person from the company

Individual customers (Non-Residents) reconverting unspent Indian Currency:

  1. Unspent Indian currency held by non residents can be reconverted into forex at the time of their departure from India if they provide the encashment certificate.
  2. If encashment certificate is not produced for bonafide reasons, then maximum Rs. 10,000 can be converted if the departure date is within 7 days
  3. Documents to be submitted:
    • A valid Encashment Certificate
    • Passport
    • Ticket

Individual customer (Resident/NRI/ Foreigners) selling forex:

  1. To Resident customers, payment in cash in Indian Rupees may be made to the extent only US$ 1000 or its equivalent per transaction. Rest of the payment will be made by way of ‘Account Payee’ cheque / demand draft only
  2. All purchases within 30 days are treated as single transaction for the above purpose
  3. To Non-Resident Indians and foreigners, payment in cash can be acceded to the extent of only US$ 3000 or its equivalent (per month)
  4. Documents required to be submitted:
    • Currency Declaration Form has to be submitted for currency above USD 5,000/- or Currency and Tc together USD 10,000
    • Photo Id such as: Passport (with Visa for NRIs)/ Voters ID/ Election card/ driving license/ Pan card (along with address proof like utility bills) etc.
    • Address proof such as: Telephone bill, bank account statement, letter from recognized public authority, electricity bill, ration card, Letter from employer