RBI Allows INR Exchange for Residents at Airport Forex Counters

The Reserve Bank of India (RBI) has amended the Memorandum of Instructions governing money changing activities, specifically relating to the operation of foreign exchange (forex) counters at international airports in India.

1. Key Change – Facility Extended to Residents

The RBI has now permitted resident individuals, in addition to non-residents, to:

• Exchange Indian Rupee (INR) notes at forex counters located in departure halls of international airports

This includes counters situated:

• In the Duty-Free Area
• In the Security Hold Area (SHA) beyond the Immigration or Customs desk

2. Earlier Position

Previously, such exchange facilities at departure areas were primarily available only to non-residents, limiting access for resident travellers.

3. Amendment to Master Direction

The Master Direction on Money Changing Activities has been amended to incorporate this expanded access, aligning operational guidelines with the revised policy.

4. Directions to Authorised Persons

Authorised Persons (APs) engaged in money changing activities have been advised to:

• Inform their constituents and customers about the revised provisions
• Ensure proper implementation of the updated guidelines

5. Regulatory Basis

The directions have been issued under:

• Section 10(4) and
• Section 11(1) of the Foreign Exchange Management Act, 1999 (FEMA)

These are without prejudice to other applicable approvals or permissions under the law.

6. Conclusion

The amendment enhances convenience for resident travellers, improves accessibility to forex services at airports, and reflects a progressive easing of operational restrictions in line with evolving travel and currency exchange needs.