A) Yes! RBI has allowed Non Resident Indians and foreigners frequently visiting India to make payments to Indian Residents in foreign currency travelers cheques/moneys or cheques drawn on Banks abroad for services rendered or goods sold or settlement of any lawful obligations. However, the resident recipient would have to surrender the foreign exchange to Authorised Dealers in India within 7 days.
Q2) What are the rules governing bringing in India foreign exchange in the form of currency / bank notes and/or travellers cheques ?
A) Persons bringing in India, foreign exchange in the form of foreign currency / bank notes and travellers cheques are required to declare the same to the customs authorities in cases where aggregate value of foreign exchange ( in the form of currency/ bank notes and travellers cheques ) at any one time exceeds USD.10,000/- or its equivalent and/or the aggregate value of foreign currency notes brought in at any one time exceeds USD.5,000/- or its equivalent. The form CDF ( Custom Declaration Form) has to be used for this purpose.
