RBI Mandates ‘LRS Daily Return’ Furnishing Mandatory for AD Category-II Banks and FFMCs Effective Jan 2026:

RBI has made it mandatory for AD Category-II banks and FFMCs to submit daily LRS returns from January 1, 2026, strengthening monitoring and compliance.

LRS Daily Reporting Now Extended Beyond AD Category-I Banks

Saloni Kumari

Dec 4, 2025

Last update on Dec 4, 2025

RBI Mandates ‘LRS Daily Return’ Furnishing Mandatory for AD Category-II Banks and FFMCs Effective Jan 2026 The Reserve Bank of India (RBI) has recently issued a circular dated December 03, 2025, regarding the ‘LRS Daily Return’ submission by Authorised Dealers - Category II banks/entities and Full-Fledged Money Changers. Through the circular, RBI draws the attention of all the authorised persons to an earlier A. P. (DIR Series) Circular No. 16 dated September 06, 2024, which mandated all Authorised Dealer (AD) Category-I banks to furnish ‘LRS daily return’ (return code in CIMS: R010) on the Centralised Information Management System (CIMS). Moreover, the said category banks are required to provide details of LRS transactions done by AD Category II banks and FFMCS maintaining accounts with them in their LRS daily return. Now, the ‘LRS daily return’ filing has also been made obligatory for AD Category-II banks/entities and FFMCs also. Hence, they have also been provided with access to CIMS. With this amendment, he said entities will be able to check the cumulative amount remitted by a resident individual (PAN-wise) under LRS (Liberalised Remittance Scheme) during the current financial year before facilitating their next requested LRS transaction. The central bank has requested all AD Category-II banks/entities and FFMCs to start furnishing their ‘LRS daily return’ from January 1, 2026, even if there are no transactions (a Nil report). Because of this, they no longer need to report LRS transactions through AD Category-I banks. RBI has developed a User Manual for submission of ‘LRS daily return’ under ‘Downloads’ on the CIMS portal, which includes detailed instructions regarding submission of ‘LRS daily return’ for all authorised persons, including AD Category-II banks/entities and FFMCs. Those who are new to CIMS have been recommended to seek help from the Foreign Exchange Department of the concerned Regional Office of the Reserve Bank of India if they have any queries or doubts. DOWNLOAD CIRCULAR

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Saloni Kumari

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Saloni is a Content Writer with 2+ years of experience at studycafe.in. She writes legal, taxation, and finance related content including GST, Income Tax etc. Skilled in translating complex judicial pronouncements and regulatory developments into clear, and reader-friendly articles. Experienced in covering judgements of ITAT, High Court, GSTAT, and news related to Income Tax, GST, and corporate law. She can be reached at [email protected].