RBI LRS Deadline Is March 31: Last few days to use RBI’s LRS limit for this financial year

You could have legally remitted about Rs 2.15 crore in March 2025 at an exchange rate of Rs 86 to a dollar, but you can now send approximately Rs 2.35 crore, an increase of Rs 20 lakh, at a rate of Rs 94 to a dollar.

Written by Sunil Dhawan

March 27, 2026 12:21 IST

sending money abroad, transfer money abroad, exchange rate INR-USD, RBI Liberalised Remittance Scheme, maximum remittance abroad

Under the RBI’s Liberalised Remittance Scheme, every resident, including minors, is allowed to remit up to 2.5 lakh US dollars per fiscal year. (Reuters)

Indians have a limited time remaining in this financial year to use the Reserve Bank of India’s Liberalised Remittance Scheme (LRS) for sending money abroad optimally. For investing in international stocks, properties, or supporting foreign education, approval is necessary for remittances abroad.

Under the RBI’s Liberalised Remittance Scheme (LRS), every resident, including minors (countersigned by a guardian), is allowed to remit up to 2.5 lakh US dollars (USD 2,50,000) per fiscal year. So, if you want to avail of the limit of the RBI LRS scheme for this FY, make sure you remit by March 31, 2026.

Since the same time last year, the Indian Rupee has declined even further. You could have legally remitted roughly Rs 2,15,00,000, or Rs 2.15 crore, in March 2025 at an exchange rate of Rs 86 to a dollar. You can now send roughly Rs 2,35,00,000 or Rs 2.35 crore, or an additional Rs 20 lakh, at a rate of Rs 94 to a dollar.

If one remits 2.5 lakh dollars before March 31 and repeats the process at the start of the next fiscal year, 5 lakh dollars can be remitted abroad per individual over a few days.

Indian residents can purchase dollars from authorized dealers using Indian rupees (INR), which can be used to buy assets like US shares abroad or spend there.

The rules state that foreign exchange (forex) can only be remitted for permissible current account transactions, capital account transactions, or a combination of the two. A big chunk of the remittances by Indians is moving into financial assets abroad.

If you are considering diversifying into US stocks, you need to go through an international brokerage platform. After converting your INR to dollars, you can bring in diversification to your portfolio of stocks by adding global companies to it.

The route is simple and easy, and it starts with opening an international trading account from India. The brokerage firm helps you to meet LRS formalities, complete KYC requirements, and in transferring of funds from your Indian bank to the newly opened foreign bank account. Once done, you are good to go and buy top US stocks from India.

If you have made a remittance under the RBI’s Liberalised Remittance Scheme (LRS), you must act immediately on the new LRS rule.

According to the new RBI rule, if you have any unused foreign exchange stashed abroad, you must return it within a certain time frame. The foreign exchange realised/ unspent/ unused and not reinvested is to be repatriated and surrendered to an authorised person within 180 days from the date of such receipt/ realisation/ purchase/ acquisition or date of return to India.

This article was first uploaded on March twenty-seven, twenty twenty-six, at twenty-one minutes past twelve in the night.