Holiday trips, credit card spends fall sharply: Indians’ overseas travel outgo dips to $1.09 billion in March
Overseas travel spending by Indians fell by $212.43 million to $1.09 billion in March 2026 from $1.3 billion in February, continuing a declining trend from $1.65 billion recorded in January, according to Reserve Bank of India data on outward remittances under the Liberalised Remittance Scheme (LRS).
Travel remained the single largest category of outward remittances, accounting for $1.09 billion of the total $2.59 billion remitted overseas by Indians in March.
What the breakup shows
Of the $1.09 billion in travel spending, the largest chunk $623.05 million, or nearly 57% went under the ‘other travel’ head, which covers holiday trips and international credit card settlements. Education-related travel, including tuition and hostel expenses, accounted for $450.16 million, while business travel, pilgrimage, and medical treatment together totalled $21.39 million.
Modi’s call to cut foreign travel
The decline comes against the backdrop of Prime Minister Narendra Modi urging citizens to reduce overseas travel and adopt measures such as carpooling, as the West Asia conflict has pushed oil prices higher and dragged the rupee to record lows. Lower foreign travel directly reduces foreign exchange outgo, easing pressure on the currency.
Other LRS categories
Remittances for maintenance of close relatives rose to $389.78 million in March from $266.18 million in February. Spending under ‘studies abroad’ which includes fees for remote or correspondence courses fell to $151.71 million from $175.68 million in February and $267.42 million in January.
Indians invested $440.22 million in overseas equity and debt instruments in March, up sharply from $265.99 million in February. Spending on overseas immovable property declined to $38.68 million from $51.36 million.
For the full financial year 2024-25, total LRS outward remittances stood at $29.56 billion, with travel the dominant category at $16.96 billion. Under the LRS, resident individuals including minors may remit up to $2,50,000 per financial year for permissible current or capital account transactions.
- Holiday trips, credit card spends fall sharply: Indians’ overseas travel outgo dips to $1.09 billion in March