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NRO Accounts

Non Resident Ordinary (NRO) Accounts are opened for Non Resident Indians. A Non Resident Indian (NRI) is an Indian citizen or foreign national of Indian origin resident outside India for purposes of employment, carrying on business or vocation in circumstances as would indicate an intention to stay outside India for an indefinite period. A person of Indian origin (PIO) is a citizen of any country other than Pakistan, Bangladesh or Sri Lanka, who

When an Indian national or a person of Indian origin residing in India leaves India for taking up employment, business or vocation or for any other purpose, indicating his intention to stay outside India permanently or for an indefinite period, he becomes a person resident outside India. His bank accounts in India are designated as Non-resident Ordinary (NRO) Accounts. NRO accounts can also be opened with funds remitted from abroad.

Salient features of NRO Accounts


Persons of Indian nationality or origin residing abroad. Accounts can be opened in single name or in joint names with another non resident or resident Indian.

Resident Indians by inward remittances from abroad.


In case of NRIs, duly filled in Account Opening form withIn case of resident Indians, as stated under Savings Bank Accounts

Types of Account

Currency of account

Indian Rupees

Exchange Risk

The exchange risk is born by the depositor.

Credits in account

Credits in the accounts can be made by:

If credits are received in a foreign currency, the amount is converted into Indian Rupees at prevailing exchange rates.

Payments/Transfers from account

Amounts can be withdrawn from accounts for making local payments in Indian Rupees.

Balances can be repatriated for any bonafide purpose upto a maximum of US dollar one million per calendar year subject to payment of taxes.

Account Operation

By account holder(s)

Interest Rate

Interest rates vary from bank to bank.

Nomination facility



Allowed from one branch of the issuing bank to another.

Premature Encashment

Premature payments attract some interest penalty.

Interest Taxability

Income Tax at a flat rate of 30% is deducted at source on interest earned irrespective of the amount of interest.

Auto Renewal

The facility of auto renewal of deposits is available from banks.

Other features

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Updated : Feb 05, 2019