Banking for Persons of Foreign Nationals/Origin

Ans. Yes. Foreign tourists of non-Indian origin during their short visit to India can open a NRO a/c (Current / Savings) with AD Bank. Further, the balance in the NRO account may be paid to the account holder at the time of his departure from India provided the account has been maintained for a period not exceeding six months and the account has not been credited with any local funds, other than interest accrued thereon.

Ans. Funds remitted from outside India through banking channels or funds obtained by sale of foreign exchange brought by tourists to India can be credited to NRO a/c.

Ans. Yes. Tourists can freely make local payments through NRO a/c.

Ans. AD Banks have been allowed to convert the balance in account for payment to the account holder at time of departure from India into foreign currency, provided the account has been maintained for a period not exceeding 6 months and account has not been credited with any local funds, other than interest accrued thereon.

Ans. Yes. Foreign nationals employed in India holding valid visas can open and maintain a resident Rupee a/c in India subject to conditions.

Ans. Yes, AD Banks can remit proceeds of resident a/c opened by a foreign national resident in India (subject to payment of taxes). However, AD Banks should ensure that the funds to be repatriated outside India were either received from abroad or they are repatriable in nature or permissible by RBI.In order to facilitate such foreign nationals to collect their pending dues, AD Banks may, permit foreign nationals to re-designate their resident a/c maintained in India as NRO a/c on leaving the country after their employment to enable them to receive their pending bonafide dues, subject to conditions.

Ans. A person coming to India from abroad can bring foreign exchange without any limit. However, if aggregate value of foreign exchange in the form of currency notes, bank notes or traveller’s cheques brought in exceeds USD 10,000 or its equivalent and/ or the value of foreign currency alone exceeds USD 5,000 or its equivalent, it should be declared to Customs Authorities at the Airport in Currency Declaration Form (CDF) on arrival in India.

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