Effective October 1, 2026, the RBI removes monetary limits for remittances reported via online Form A2, allowing seamless digital reporting for all transaction sizes. AD Category I banks and AD-Category II entities must update internal systems accordingly.
RBI Removes Remittance Limits for Online Form A2 Submission
The Reserve Bank of India has eliminated the earlier thresholds restricting online submission of Form A2 for remittances. As per A.P. (DIR Series) Circular No. 23 dated October 1, 2026, Authorised Dealers (Category I banks and Category II entities) may now process Form A2 electronically for all remittances, irrespective of amount.
This amendment modifies paragraph 3 of Circular No. 12 dated July 3, 2024, which previously imposed limits on online processing to encourage physical verification for high-value transactions. The RBI has now determined that enhanced digital KYC and risk assessment systems render such caps obsolete.
Practical implications: The change accelerates remittance processing and reduces operational burden on banks. Compliance teams should ensure that internal risk monitoring systems are calibrated to detect unusual patterns even without transaction caps. Integration with the FEDWIRE and SWIFT systems must reflect the updated protocol.
Citations
- A.P. (DIR Series) Circular No. 23, 2026