RBI allows resident Indians to open Foreign Currency Accounts in IFSC, Gujarat

The Reserve Bank of India (RBI) in a notification issued on Wednesday evening allowed resident individuals to open Foreign Currency Account (FCA) in International Financial Services Centres (IFSCs) at GIFT City in Gujarat under the Liberalised Remittance Scheme (LRS).

Authorised persons are those authorised by the RBI to provide forex services such as banks and specific FX dealers as such transactions will be routed through the banking system.

Currently remittances under LRS to IFSCs are permitted only for making investments in IFSCs in securities except those issued by entities/companies resident in India (outside IFSC)and for payment of fees for education to foreign universities or foreign institutions in IFSCs for pursuing courses mentioned in the gazette notification no. SO 2374(E) dated May 23, 2022, issued by the Central Government.