EbixCash World Money Secures RBI Approval for Trade Remittances

MUMBAI — In a landmark regulatory shift for India's cross-border payments ecosystem, EbixCash World Money Limited announced today that it has received a perpetual Authorised Dealer Category-II (AD-II) licence from the Reserve Bank of India (RBI). The updated authorisation grants the non-bank institution expanded powers to process trade remittances of up to Rs. 25 lakh and family maintenance remittances following recent framework updates.

The regulatory upgrade follows significant revisions introduced by the Ministry of Finance and the RBI under the Foreign Exchange Management Act (FEMA) framework. By opening trade and family maintenance channels directly to non-bank AD-II entities, regulators are streamlining international commercial flows for smaller enterprises. This development changes how micro, small, and medium enterprises (MSMEs) handle cross-border trade transactions by reducing reliance on traditional, full-service banking channels.

Expanding Horizons for India's MSMEs

The newly expanded licence allows EbixCash World Money to bridge a long-standing structural gap for Indian exporters and importers. Historically, trade settlements of this scale required cumbersome routing through traditional commercial banking networks. With this approval, eligible businesses can execute trade transactions up to Rs. 25 lakh directly through an established non-bank foreign exchange network.

Furthermore, the company maintains direct approval from the Reserve Bank of India (RBI) to operate Nostro accounts—a privilege typically restricted to scheduled commercial banks. This capability allows the institution to settle international transactions directly without depending on third-party correspondent banks, significantly reducing friction and latency in cross-border transfers.

Operational Impact and Market Reach

As India’s largest AD-II network, EbixCash World Money operates over 25,000 customer touchpoints nationwide. Market data indicates that the company currently facilitates a substantial share of inward cash-to-cash remittances and outward Liberalised Remittance Scheme (LRS) flows.

The incorporation of trade and family maintenance remittances into its service stack positions the firm to service underserved commercial sectors across more than 70 cities. By combining digital workflows with an extensive physical footprint, the platform delivers streamlined execution for retail and corporate users alike.

Official Sources Section

Official announcements regarding the regulatory upgrade and expanded scope of operations were released by EbixCash World Money Limited and validated through regulatory frameworks administered by the Reserve Bank of India (RBI) under the provisions of the Foreign Exchange Management Act (FEMA).

According to officials, the perpetual licence represents a major endorsement of robust governance, compliance protocols, and consumer protection standards built over nearly three decades of market operations. Company representatives noted that the milestone sets a new benchmark for non-bank participation in India's foreign exchange landscape.

Why It Matters

For Indian businesses, travelers, and investors, this regulatory evolution translates into tangible operational efficiencies. MSMEs engaged in international trade gain an alternative, highly accessible avenue for executing routine import-export payments without facing traditional banking bottlenecks. Consumers benefit from expanded access points for family maintenance transfers, while the broader fintech sector witnesses a progressive opening of institutional-grade financial services to non-bank participants.

Key Facts at a Glance

• Regulatory Milestone: EbixCash World Money is the first non-bank AD-II entity in India to receive a perpetual RBI licence with expanded trade capabilities.

• Transaction Scope: Authorised to handle trade remittances up to Rs. 25 lakh and family maintenance payments under revised FEMA guidelines.

• Direct Settlement: Backed by RBI approval to maintain Nostro accounts for direct cross-border clearing.

• National Footprint: Operates across a vast network comprising over 25,000 customer touchpoints spanning more than 70 cities nationwide.

FAQ Section

What does the new RBI licence permit EbixCash World Money to do?

The perpetual AD-II licence allows the company to process trade remittances of up to Rs. 25 lakh and family maintenance payments directly for Indian customers and MSMEs.

Why is this development important for MSMEs?

It provides smaller businesses involved in international trade with a streamlined, non-bank alternative for cross-border settlements, cutting down reliance on conventional banking channels.

What is a Nostro account capability, and why does it matter?

A Nostro account allows an institution to hold foreign currency abroad directly, enabling faster international settlements without routing funds through intermediate correspondent banks.

How does this impact everyday retail customers?

In addition to trade flows, the expanded framework facilitates family maintenance remittances, making it easier for households to support dependents living abroad.

Source: Reserve Bank of India (RBI), Ministry of Finance, EbixCash World Money Limited