Master Circular on Remittance Facilities for NRIs/PIOs/Foreign Nationals
No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2009-2010/24 · issued 01 Jul 2009 · ~2 min read
Quick answerRBI consolidated remittance rules for NRIs, PIOs, and foreign nationals into one master circular, effective July 1, 2009, with a one-year sunset clause. It covers current income repatriation, asset transfers, and student facilities, requiring AD banks to follow updated operational instructions.
What changed
RBI issued Master Circular No.04/2009-10 consolidating all existing instructions on remittance facilities for NRIs, PIOs, and foreign nationals into a single document. The circular includes a sunset clause, meaning it will be withdrawn on July 1, 2010, and replaced by an updated version. It references FEMA Notifications 13/2000-RB and 21/2000-RB as the governing legal framework.
What it means for you
Banks must now refer to this master circular as the single source for remittance rules, replacing earlier scattered circulars. The one-year sunset clause signals that RBI expects periodic updates, so banks should track future revisions. AD banks are responsible for verifying eligibility and tax compliance before allowing remittances, especially for current income and asset transfers.
Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.
What banks were required to do at the time
Update internal compliance manuals to reference this master circular for NRI/PIO remittance processing.
Ensure staff are trained on the consolidated definitions of NRI and PIO, noting that PIO excludes Bangladesh and Pakistan citizens, while NRI is a citizen of India resident outside India.
Verify tax compliance (CA certificate) before permitting remittance of current income for NRIs without an NRO account; for NRO accounts, current income is a permissible debit.
Monitor the sunset date (July 1, 2010) and prepare for the next updated circular.
Maintain records of remittance approvals as per the operational instructions in Annex-2.
Who it affects
All Authorised Dealer Category – I banks, All Authorised banks, NRI and PIO customers, Foreign nationals of non-Indian origin residing in India
❓ Common questions
Regulatory timeline
Stated effective dateeffective July 1, 2009
Decoded by BankPulse2026-06-19 09:35 IST
Status change: withdrawn03 Aug 2026, 04:00 IST
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
Can NRIs remit rent or pension income without an NRO account?
Yes, AD banks may allow such remittance based on a Chartered Accountant certificate confirming eligibility and tax payment or provision.
What is the definition of a Person of Indian Origin (PIO) under this circular?
A PIO is a citizen of any country except Bangladesh or Pakistan, who previously held an Indian passport, or whose parents/grandparents were Indian citizens, or who is a spouse of an Indian citizen or such person.
Does this circular apply to foreign nationals of non-Indian origin?
Yes, it covers remittance of assets by foreign nationals who retired from employment in India, inherited assets from a resident, or are widows of Indian citizens, subject to specific conditions.
📜 Read the original circular — full text as issued by RBI
RBI/2009-2010/24
Master Circular No.04/2009-10
July 1, 2009
To,
All Authorised Dealer Category – I banks and Authorised banks
Madam / Sir,
Master Circular on Remittance Facilities for Non-Resident Indians /
Persons of Indian Origin / Foreign Nationals
Remittance facilities for Non-Residents/Persons of Indian Origin /Foreign Nationals are being governed by sub-section (1) and (2) of section 6 of the Foreign Exchange Management Act, 1999 read with FEMA Notification No.13/2000-RB and FEMA Notification No. 21/2000-RB dated May 3, 2000 , as amended from time to time.
2. This Master Circular consolidates the existing instructions on the subject of “Remittance facilities for Non-Resident Indians / Persons of Indian Origin /Foreign Nationals” at one place. The list of underlying circulars/notifications consolidated in this Master Circular is furnished in Appendix.
3. This Master Circular is being issued with a sunset clause of one year. This circular will stand withdrawn on July 1, 2010 and be replaced by an updated Master Circular on the subject.
Yours faithfully,
(Salim Gangadharan)
Chief General Manager-in-Charge
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-2010/24 · issued 01 Jul 2009. The plain-English explanation above is BankPulse’s own independent summary.
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5119&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
Help us keep this accurate
Found an inaccuracy or have an improvement? Tell us. Every report is reviewed by our team before any change is made — nothing goes live unverified.
Public beta — plain-English informational summaries. Always verify against the official RBI source (circular number cited on every page) before making compliance, credit, treasury, audit, or operational decisions. · Join our WhatsApp channel ↗
BANKPULSE · FREE DAILY BRIEF
Get RBI updates for your role
Every important RBI update, decoded in plain English — for your career, exams & financial awareness.
We collect only your email, name and role, used solely to send your brief — never sold or shared. Withdraw anytime via the unsubscribe link in any email. Independent platform, not affiliated with the RBI. Information, not legal advice.
REPORT AN ERROR · BETA
Spotted an error? Earn 500 BankPulse Credits
Help us stay accurate. If your correction is verified true and approved by our founder, you earn 500 BankPulse Credits — redeemable when the platform monetises.
Reviewed by a human before any credit is awarded. We never change the site from crowd input without verification.
WANT A NEW FEATURE · BETA
What would make BankPulse more useful for you?
Tell us what to build next — a tool, a data view, a role page, anything. We read every suggestion.
Thank you — your ideas directly shape what we build.