Indian Family Offices Turn to Singapore Despite RBI Regulatory Uncertainty

Indian family offices Singapore structures are gaining renewed interest as some private banks resume facilitating offshore remittances despite continuing regulatory uncertainty in India.

The Economic Times reported that around INR15bn (USD171m) had been transferred over the past two months, with a Singapore bank, two law firms and a wealth manager advising families across major Indian cities.

Banks had largely stopped facilitating such transactions after a Reserve Bank of India official informally cautioned against remittances to overseas family offices in 2023.

Some lenders have recently begun selectively approving transactions after interpreting India’s 2022 overseas investment rules as permitting non-financial companies to invest in foreign financial-services entities.

The renewed activity highlights continued demand among wealthy Indian business families for internationally diversified family office structures, although uncertainty over RBI interpretation means advisers and banks remain cautious when approving cross-border transfers.