Question
What is the limit on the amount of money for trade
related transactions under RDA?Solution
Rupee Drawing Arrangement (RDA) is a channel to receive cross-border remittances from overseas jurisdictions. This scheme is not used for cross-border outward remittances from India. There is no limit on the remittance amount as well as on the number of remittances. However, there is an upper cap of Rs.15.00 lakh for trade related transactions. No cash disbursement of remittances is allowed under RDA. The remittances have to be credited to the bank account of the beneficiary.
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