(Applicable to Non Resident Indians & Foreigners visiting India)
There is no absolute prohibition on bringing any amount of Foreign Currency with any denomination into India. On arrival you must declare the currencies you brought in and obtain a certificate (CDF) from Airport Customs authorities.
Checks / drafts issued by overseas banks and denominated in Indian rupees drawn on banks situated in India may be brought in by travelers without any restrictions.
Process for Encashment of Foreign Currency in India
Currency should be exchanged only through authorized currency exchange agents and banks who will issue an Encashment Certificate that is required at the time of reconversion of any unspent money into foreign currency. Extravelmoney.com helps you to compare and book exchange rates quoted by different Authorized money changers across India. Exchange of foreign currency other than through banks or authorized currency exchange agents is an offense under Foreign Exchange Regulations Act, 1973 and FEMA.
The authorized currency exchange dealer is required to make an entry of the amount of foreign currency exchanged on the Currency Declaration Form (Above USD 5000 or its equaling is mandatory), and also issue an Encashment Certificate showing details of foreign currency exchanged, rate of conversion and amount of INR paid.
Travelers are advised to obtain Encashment Certificates in their own names and necessary endorsements on the Currency Declaration Form (Above USD 5000 or its equaling is mandatory), where applicable, in order to facilitate easy reconversion into foreign exchange of the Indian currency left with them at the time of their departure from India.
Unspent balances of Indian currency can be re-converted into foreign currency at the time of departure from India, only against Encashment Certificates, which are valid for 3 months from the date of their issue.