Remittances

The Reserve Bank on Wednesday removed the prior approval requirement for non-bank entities to form tie-up arrangements for facilitating outward remittance services through banks in India. The central bank has issued an operating framework for facilitating outward remittance services by non-bank entities through Authorised Dealer (Category I) banks in India. "On a review, it has been decided to dispense with the process of granting of the approvals by the RBI for such tie-ups and instead Authorised Dealers are advised to comply with instructions...while facilitating cross-border outward remittance of funds for non-trade current account transactions using a third-party entity in online mode...," the central bank said. Online mode includes a website, online platform, software application, and mobile application. According to a 2016 direction, non-bank entities had to obtain specific approval from the Reserve Bank for tie-up arrangements to facilitate outward remittance services throug

India received more than 137 billion dollars in remittances in 2024, the top remittance recipient country in the world and the only nation to surpass 100 billion dollars, the UN agency on migration said. "India consistently leads as the top recipient of remittances, followed by Mexico," the World Migration Report 2026, released by the International Organization for Migration (IOM) on Tuesday, said. In 2024, India, Mexico, the Philippines and France were the top four remittance recipient countries globally. "India, however, continued to be well above the rest, receiving more than USD 137 billion, and remained the only country to surpass USD 100 billion," the report said. Since 2010, India has been the top remittance receiving country in the world, when it had received 53.48 billion dollars, which grew over the years to 68.91 billion dollars in 2015, 83.15 billion dollars in 2020 and 137.67 billion dollars in 2024. The report said that the distribution of remittances varies across .

Central bank asks banks to immediately inform customers and reconcile nostro accounts frequently to ensure quicker credit of cross-border inward payments

RBI Deputy Governor says remittances to India likely to remain stable as demand for migrant workers may rise despite ongoing conflict in West Asia

Niyo Forex launches Chennai branch as part of its expansion plan, targeting Tamil Nadu's outbound travel and remittance demand with a phygital model and wider service network

Disclose the property every year under Schedule FA of your income-tax return

Outward remittances under RBI's LRS declined 3.19 per cent to $2.68 billion in January 2026, with lower education and deposit outflows partly offset by rising overseas investments

NRI deposit inflows declined 25.86 per cent to $10.61 billion in April-January 2026, mainly due to a sharp fall in FCNR deposits, even as NRE and NRO inflows rose

Remittances from West Asia to India rise 20-30% in March as diaspora sends more money amid conflict and a weaker rupee, though bankers warn gains may be temporary

A huge number of Indians split their lives across the Arabian Sea, remitting $125 billion a year, supporting their families and the Indian economy

In this session, Richa Sawhney, Partner – Tax, Grant Thornton Bharat talks about the new tax rules, business implications and gives tips to students aspiring to be in tax advisory roles

Lowering TCS on overseas education and medical remittances under LRS to 2% is expected to ease cross-border transactions and bring predictability for families managing large foreign expenses

Sending money from the US to India has become costlier after a 1% excise tax on cash-based remittances took effect from January 1, 2026

The RBI undertook a review of the existing prudential norms governing the declaration of dividends and remittance of profits, including those applicable to foreign banks operating in branch mode

The 1 per cent remittance tax will apply to transfers made using cash, money orders or cashier's checks, affecting many NRIs in the US who send money abroad through physical payment modes

The challenge is not reversal but recalibration: India must redesign its external strategy even as domestic engines stay strong

Union Minister for Communication Jyotiraditya M Scindia on Monday unveiled the UPIUPU Integration project here, described as a landmark initiative aimed at transforming cross-border remittances for millions worldwide. The initiative was launched at the 28th Universal Postal Congress. Developed by the Department of Posts (DoP), NPCI International Payments Limited (NIPL), and the Universal Postal Union (UPU), it integrates India's Unified Payments Interface (UPI) with the UPU Interconnection Platform (IP), combining the reach of the postal network with the speed and affordability of UPI. Addressing the event, Scindia called it more than a technology launch, but a social compact. The reliability of the postal network combined with the speed of UPI means families across borders can send money faster, safer and at much lower cost. It reaffirms that public infrastructure built for citizens can be linked across borders to serve humanity better, he said. He outlined India's vision for a .

According to RBI data, the amount remitted under LRS was up 0.5 per cent year-on-year (Y-o-Y) from $6.88 billion recorded in Q1 FY25

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

The remittance tax risks reviving hawala networks, making it easier to fund drug and human smuggling, as criminal syndicates step in to exploit informal money transfer systems once again