Outward remittances under the RBI's Liberalised Remittance Scheme reached $2.396 billion in May 2026, up from $2.286 billion in April. The rise was led by a 52% jump in overseas equity and debt investments alongside strong spending on leisure travel.
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Resident individuals in India increased their foreign asset exposure and travel spending during May 2026, pushing total outward remittances under the Reserve Bank of India's Liberalised Remittance Scheme to $2.396 billion. This monthly figure represents a recovery from the $2.286 billion recorded in April, reflecting shifting priorities in how Indian households allocate capital abroad.
Surge in Overseas Investment and Travel
The most notable change in the May data was the rebound in portfolio investments. Remittances for overseas equity and debt instruments climbed by more than 52%, reaching $363.64 million compared to $238.63 million in the previous month. This move suggests that individual investors are increasingly diversifying their portfolios into international markets, even as these totals remain below the $440.22 million level seen in March.
Spending on international travel also remained a major driver of overall outflows. Remittances specifically for leisure and holiday travel, which includes international credit card settlements, rose by 21% to $831.44 million. When combined with business travel, the total travel-related category reached $1.28 billion for the month, solidifying its position as the largest single component of the Liberalised Remittance Scheme.
Shifting Spending Priorities
While investment and leisure spending rose, other traditional categories of outward remittance saw a decline. Data shows that spending on education abroad, gifts, and the maintenance of close relatives decreased during the month. Additionally, remittances for property purchases abroad fell to $35.76 million, highlighting a potential cooling in interest for international real estate among resident individuals. In contrast, deposits held in foreign bank accounts by residents grew slightly to $118.12 million.
Understanding the Liberalised Remittance Scheme
The Liberalised Remittance Scheme allows resident individuals to remit a specific amount of money per financial year for various permitted current or capital account transactions. Because these outflows involve converting Indian Rupees into foreign currencies, they are closely monitored by market analysts as an indicator of personal wealth management and discretionary spending capacity. As investors continue to explore global investment avenues, the movement in these categories will remain a primary metric for tracking how resident individuals manage their foreign currency exposure and discretionary travel budgets.