Under the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India, what is the maximum amount that an Indian resident individual can remit abroad in a financial year, including for educational purposes such as studying abroad?

Correct option is C

Under the Liberalised Remittance Scheme (LRS), the Reserve Bank of India (RBI) allows all resident individuals, including students, to remit up to USD 2,50,000 per financial year (April–March) for permissible current or capital account transactions. This limit applies to purposes such as:

• Education abroad (tuition fees, living expenses, etc.)

• Travel (private or business)

• Maintenance of close relatives abroad

• Medical treatment

• Investment in shares, property, or deposits overseas

For students studying abroad, remittances can be made either under LRS directly by the individual/student or through loan disbursement from an Indian bank (under the Education Loan Scheme).