The Reserve Bank of India (RBI) LRS enables resident persons, including minors, to remit a certain sum of money for investment and expenditure to another country within a financial year.

Corporations, joint businesses, Hindu Undivided Family (HUF), Trusts, etc. do not have access to the Scheme.

More about LRS:

• In April 2020, under the Liberalised Remittance System (LRS), Indians remitted only $499.14 million, a 61 percent decrease from $1,287.91 million in the same month last year.
• Up to $250,000 per financial year can be remitted by resident citizens.
• This money can be used to pay expenses for travel, medical care, study, gifts, and donations, etc.
• In addition, the amount remitted can also be invested in bonds, debt instruments and can be used for the acquisition of immovable property on the overseas market.
• Individuals can also open, establish, and maintain foreign currency accounts with banks outside India for the purpose of performing transactions approved under the scheme.