Indians Spend Over $1 Billion Every Month On Foreign Travel: RBI Data According to the report, during the April-December period of 2022-23, the outward remittances under the Liberalised Remittance Scheme (LRS) for resident individuals towards 'travel' was $9.95 billion
By Teena Jose •
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The Reserve Bank of India (RBI) revealed that Indians are spending nearly $1 billion every month on foreign travel which is significantly more than pre-Covid levels, according to a PTI report.
According to the RBI data as cited in the news report further added that, during the April-December period of 2022-23, the outward remittances under the Liberalised Remittance Scheme (LRS) for resident individuals towards 'travel' was $9.95 billion. The corresponding spending on travel during 2021-22 was $4.16 billion, and $5.4 billion in the pre-Covid year 2019-20.
Under the Liberalised Remittance Scheme (LRS), all resident individuals are allowed to freely remit up to $2,50,000 or its equivalent per financial year to another country for investment and expenditure. They can also open and maintain foreign currency accounts abroad for executing transactions.
According to RBI data, the spending on outward travel fell sharply to $3.23 billion during 2020-21 mainly due to restrictions following the outbreak of Covid-19. The outward remittances towards travel were $6.95 and $4.8 billion in 2019-20 and 2018-19, respectively.
Akash Dahiya, co-founder, SanKash in the news report was quoted as saying that "With the rise of affordable travel and technological advancements, the travel industry is experiencing a massive boom in international destinations. Seventy-five per cent of our portfolio is now opting for international travel. We are witnessing a surge in demand for places such as Europe, Bali, Vietnam, and Dubai among Indians."
