Resident individuals remitted $2,551.34 million in June, up from $2,396.42 million in May as overseas investments in equity and debt and travel outflows rose during the month. The May figure was at $2,127.39 million, indicating a steady acceleration in outward remittances during the first quarter of 2026-27.
The LRS allows resident individuals to remit up to $250,000 in a financial year for permitted current or capital account transactions.
Travel remained by far the largest component of LRS outflows. Remittances for travel rose 6.6% to $1,366.81 million in June from $1,282.63 million in May. Travel-related transfers accounted for more than half of total LRS remittances during the month, according to RBI data.
Education-related travel up, business travel dips
Within travel, education-related travel saw the strongest increase, rising to $488.32 million in June from $422.97 million in May, an increase of 15.4%. Other travel, which includes holiday trips and payments towards settling international credit card transactions, increased 2.6% to $853.11 million, data shows.
Business travel, however, declined marginally to $13.68 million from $13.95 million. Remittances for pilgrimage fell 35.1% to $6.58 million, while transfers for medical treatment involving travel abroad increased 24% to $5.12 million.
RBI said the second-biggest increase came from investments in equity and debt. Outward remittances for this purpose jumped 25.6% month-on-month to $456.69 million in June, from $363.64 million in May. The rise suggests a stronger flow of resident funds into overseas financial assets.
Outward remittances rise for property, gifts
Remittances for purchasing immovable property abroad also increased substantially, rising 38.9% to $49.65 million from $35.76 million. Though relatively small in absolute terms, the category recorded one of the sharpest month-on-month increases among the major uses of LRS.
Gifts, another significant component of outward remittances, rose 5% to $211.49 million in June from $201.50 million in May. Donations remained broadly stable, edging up to $0.75 million from $0.69 million.
There were declines in some categories. Transfers for maintaining close relatives abroad fell marginally to $287.04 million from $289.11 million. Remittances for medical treatment without travelling abroad declined sharply, falling 34.3% to $3.23 million from $4.92 million.
Remittances classified as “Studies Abroad” increased 4.5% to $96.76 million from $92.61 million. This category covers education services availed remotely without travelling abroad, such as fees for correspondence courses.
Decline in deposits abroad
Deposits abroad also saw decline, with transfers falling 40.1% to $70.74 million in June from $118.12 million in May, the data showed.
Overall, the June data point to a broad-based rise in outward remittances, led by travel and overseas investments. The jump in education-related travel and equity/debt investments was particularly notable, while the decline in deposits and certain medical and pilgrimage-related transfers partly offset the increase.
The LRS allows resident individuals to remit up to $250,000 in a financial year for permitted current or capital account transactions. The latest monthly data indicate that overseas travel continues to dominate the use of the facility, even as investment-linked remittances gain momentum.
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