LRS remittances rise 8.6% in April 2025 on travel, investment boost

April 2025 outward remittances under the RBI's LRS rose 8.6 per cent YoY to $2.5 billion, but full-year outflows fell by 6.85 per cent amid global uncertainty and high base

Outward remittances under Reserve Bank of India’s (RBI’s) Liberalised Remittance Scheme (LRS) grew by 8.6 per cent in April 2025 from the year ago period against the back of healthy growth in international travel and investment.

 

The LRS scheme was introduced in 2004, allowing all resident individuals to remit up to $250,000 per financial year for any permissible current or capital account transaction, or a combination of both, free of charge. In the initial phase, the scheme was introduced with a limit of $25,000 which was gradually revised.

 

According to the latest RBI bulletin, the remittances under the scheme stood at $2.5 billion in April 2025, 8.6 per cent more than $2.28 billion in April 2024. 

 

In the reported month, remittances for international travel grew by 11.02 per cent year-on-year (Y-o-Y) to $1.3 billion from $1.14 billion in the year ago period. Remittances for the maintenance of close relatives inched up 1.6 per cent Y-o-Y to $397.97 million from $391.69 million in April 2024.

 

While, remittances for investment in equity/debt rose by 105.6 per cent Y-o-Y to $203.44 million and deposits rose by 29.56 per cent Y-o-Y to $94.15 million. Remittances for purchase of immovable property increased 92.71 per cent Y-o-Y to $44.69 million from $23.19 million.

 

On the other hand, the remittances for medical treatment dropped 51.1 per cent YoY to $5.08 million, while for overseas education, it declined by 21.4 per cent YoY to $163.6 million. The remittances for ‘gifts’ segment dropped 6.51 per cent Y-o-Y to $290.9 million.

 

In FY25, India’s outward remittances under LRS moderated by 6.85 per cent Y-o-Y to $29.56 billion, after rising to an all-time high of $31.73 billion in FY24, amid global uncertainty, muted domestic income growth and high base effect.