Indians travelling abroad can now carry $3,000 worth foreign exchange in cash, following a Reserve Bank of India notification that further liberalises its foreign exchange policy.
Earlier, the limit for the amount of cash that Indians could in foreign exchange for overseas travel was $2,000.
RBI rules say that in connection with private visits abroad, for tourism purposes, etc, foreign exchange up to $10,000, in any one financial year, may be obtained from an authorised dealer (bank) on a self-declaration basis.
Travellers are now allowed to purchase foreign currency notes/coins up to $3,000. The balance amount can be taken in the form of travellers cheque or banker's draft.
The ceiling of $10,000 is applicable in aggregate and foreign exchange may be obtained for one or more than one visit provided the aggregate foreign exchange availed of in one financial year does not exceed the prescribed ceiling of $10,000
This limit of $10,000 per financial year can be availed of by a person along with foreign exchange for travel abroad for any purpose, including for employment or immigration or studies.
However, no foreign exchange is available for visit to Nepal and/or Bhutan for any purpose.
Exceptions to this are (a) travellers proceeding to Iraq and Libya can draw foreign exchange in the form of foreign currency notes and coins not exceeding $5,000 or its equivalent; (b) travellers proceeding to the Islamic Republic of Iran, Russian Federation and other Republics of Commonwealth of Independent States can draw entire foreign exchange in the form of foreign currency notes or coins.
The $3,000 limit is applicable to the amount of cash that an individual can carry. However, credit card holders can spend up to the full limit of their cards when travelling abroad. This spending is in addition to the limit of $3,000 that individuals can carry in cash.
