Kerala, Maharashtra, Karnataka and
Tamil Nadu together received close to 60 per cent of the
total remittances in the country in financial year 2016-17,
according to a RBI survey.
Of the total remittances into the country in 2016-17,
74.2 per cent was routed through private sector banks, while
the share of public sector banks stood at 17.3 per cent.
Foreign banks accounted for 8.5 per cent of the total
remittance, according to RBI's 'Inward Remittances Survey'.
"Kerala, Maharashtra, Karnataka and Tamil Nadu
together received 58.7 per cent of total remittances in
2016-17," it said.
The findings is based on the responses from 42 major
authorised dealers (ADs), accounting for 98.3 per cent of
total remittances in 2016-17.
Nearly 82 per cent of the total remittances received
by the country originated from eight countries - the United
Arab Emirates, the United States, Saudi Arabia, Qatar, Kuwait,
Oman, the United Kingdom and Malaysia.
In the reporting year, 70.3 per cent of all reported
transactions were of more than USD 500 and only 2.7 per cent
were of less than USD 200, the survey showed.
More than 50 per cent of remittances received by
Indian residents were used for family maintenance such as
consumption (59.2 per cent), followed by deposits in banks (20
per cent) and investments in landed property and shares (8.3
The findings showed that the rupee drawing arrangement
(RDA) was the most popular channel of remittances, accounting
for 75.2 per cent of remittances, followed by SWIFT (19.5 per
cent), direct transfers (3.4 per cent) and cheques and drafts
(1.9 per cent).
RBI said cost to the remitter for sending remittances
through RDA is relatively low in the case of private /foreign
The cost of receiving remittances through the RDA
route is lowest in the case of public sector banks, the survey
showed.(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)