Outward remittances under RBI's LRS surge after FY21 lull due to Covid-19

Under LRS, all resident individuals, including minors, are allowed to remit up to $250,000 in every financial yr for any permissible current or capital account transactions, or a combination of both

Outward remittances under the Liberalised Remittance Scheme (LRS) picked up in the first six months of the current financial year, after a tepid 2020-21 due to Coronavirus (Covid-19) related restrictions on travelling and overseas education. 

According to latest data published by Reserve Bank of India (RBI), Indians remitted close to $9 billion during the April-September period of the current financial year as compared to $5.7 billion during the same period last year, a growth of 57% year on year. FY21, which was hit by Covid-19 related restrictions, saw an outflow of $12.7 billion. FY20, however, saw a record $18.8 billion