The Reserve Bank of India (RBI) on June 22, 2023, issued a notification regarding the Remittances to International Financial Services Centres (IFSCs) under the Liberalised Remittance Scheme (LRS).
The attention of Authorised Persons is invited to A.P. (DIR Series) Circular No. 11 dated February 16, 2021, and A.P. (DIR Series) Circular No. 03 dated April 26, 2023, on “Remittances to International Financial Services Centres (IFSCs) in India under the Liberalised Remittance Scheme (LRS)”.
Presently, remittances to IFSCs under LRS can be made only for making investments in securities in terms of A.P. (DIR Series) Circular No. 11 dated February 16, 2021. In view of the gazette notification no. SO 2374(E) dated May 23, 2022, issued by the Central Government, is directed that Authorised Persons may facilitate remittances by resident individuals under the purpose of ‘studies abroad’ as mentioned in Schedule III of Foreign Exchange Management (Current Account Transactions) Rules, 2000 for payment of fees to foreign universities or foreign institutions in IFSCs for pursuing courses mentioned in the gazette notification ibid.
Authorized Persons shall bring the contents of this circular to the notice of their constituents and customers.
[Notification No. RBI/2023-24/45 A.P. (DIR Series) Circular No. 06]
