Foreign Exchange - Frequently asked questions . . .
Foreign exchange rules in India for Tourists, Businessmen, Students and Immigrants . . .
Foreign exchange rules in India have been liberalized now, I remember the time when I moved overseas in 1970, the government of India allowed travellers foreign exchange of US$ 8 only!
Where and how to exchange money in India
Q. Where can I exchange my
Indian Rupees to US dollars?
A. Any authorized bank or authorized money changers. Money changers
normally offer a slightly favorable exchange rate.
Q. Can I pay for the purchase
of foreign exchange by way of cash in India Rupees?
A. If the exchange you are purchasing is up to Rupees 50,000, cash
payment in Indian Rupees can be made. However, in cases where the
purchase amount will exceed Rupees 50,000 then the entire amount
will have to be paid by way of a cheques (crossed, not bearer
cheques) or bank draft.
Take Cash or Travelers Cheques?
When purchasing foreign currency in India, travelers are allowed to take up to US$ 2000 in cash and the rest has to be taken in the form of either traveler’s cheques or a bank draft. There are some exceptions to this rule depending on the country you are travelling to:
Up to US$ 5000 or its equivalent in cash is allowed for travelers going to:
- Iraq
- Libya
Up to US$ 10,000 or its equivalent in cash o is allowed for travelers going to:
- Islamic Republic of Iran
- Russian Federation
- Other Republics of Commonwealth of Independent States
How much foreign exchange does Indian allow for business trip?
Q. I am going to UK for a
business trip to promote my business. How much exchange can I get?
A. Authorized dealers are permitted to release foreign exchange
equivalent to a maximum of US$ 25,000 for a business trip. If you
need more, then RBI permission is required.
A. You can’t get any foreign exchange for trips to Nepal.
Foreign exchange allowed for study abroad
Q. I am planning to go abroad for
study. How much foreign exchange can I get?
A. For each academic year, authorized dealers are allowed to release
up to US$ 100,000. However, if more is required, then you need an
estimate of the amount required from the education institute you are
joining. Students can also receive from relatives up to US$ 100,000
to help them meet their monetary requirements while studying abroad.
Taking Indian Rupees to Indian or Out of India
Q. I have some Indian Rupees
with me from my previous trip to India. Can I take this money back
to India on my next trip legally?
A. Legally, up to Rupees 5000 can be taken into India in such cases
from any country other than Nepal or Bhutan.
Q. How much cash in Indian
currency can be taken out of India?
A. Up to Rupees 5000 is allowed.
Foreign exchange in India for tourism
Q. How much foreign exchange
can I get for a tourism trip abroad without RBI permission?
A. Up to US$ 10,000 is allowed per financial year without RBI
approval from authorized dealers. This does not apply if you are
travelling to Nepal or Bhutan as no foreign exchange is given for
these countries.
Immigration related foreign exchange
Q. I need to show a lump sum of
money in my account to get immigration in Canada. How much money can
I send from Indian for this purpose?
A. None! No amount of foreign exchange is allowed to be remitted
outside India earning points for immigration visas.
Q. I have a job offered to me
abroad, how much foreign exchange; will I be allowed to take?
A. Those going abroad for employment purposes are allowed up to US$
100,000.