India’s Union Budget 2026 has introduced a series of measures that directly impact Non-Resident Indians (NRIs) living in the UAE, particularly those who regularly remit money, invest in Indian markets, or own property back home. The changes aim to simplify cross-border transactions, encourage long-term investment, and reduce friction for overseas Indians managing assets in India.
Cheaper overseas remittances
One of the most immediate benefits for UAE-based NRIs is the move to lower the cost of overseas remittances. The government has rationalised fees and compliance requirements for digital transfers under approved banking channels, making it cheaper and faster to send money to India for family support, savings, or investments.
Banks and authorised money transfer operators are expected to pass on these cost reductions in the coming months, a move welcomed by NRIs who send funds home regularly.
Easier property sales for NRIs
Budget 2026 has also addressed long-standing concerns around selling property in India. New measures streamline documentation and reduce procedural delays for NRIs disposing of residential or commercial assets.
Tax compliance for property sales has been simplified, with clearer timelines for capital gains tax processing and faster repatriation of sale proceeds. Experts say this could unlock liquidity for NRIs who have been holding on to properties due to legal and tax complexities.
Higher limits for equity investments
In a boost for overseas investors, the government has raised investment limits for NRIs in Indian equities. This allows NRIs to increase their exposure to Indian shares through the Portfolio Investment Scheme (PIS), reflecting confidence in India’s capital markets and long-term growth outlook.
Market analysts say the change could channel more foreign capital into Indian stocks, particularly from Gulf-based investors who already show strong interest in India’s equity story.
Greater clarity on compliance
The budget also brings better alignment between tax, banking, and FEMA regulations, reducing uncertainty for NRIs managing multiple income streams. Digital reporting and simplified disclosures aim to cut down paperwork while ensuring transparency.
What experts are saying
Financial advisors note that while the reforms are positive, NRIs should still review individual tax implications – especially around capital gains, residency status, and double taxation treaties between India and the UAE.
The bottom line
For NRIs in the UAE, Budget 2026 signals a more investor-friendly and NRI-aware approach. Lower remittance costs, smoother property exits, and expanded investment opportunities could make managing money back home easier – provided individuals stay informed and plan carefully.
