The travel fintech platform describes this as an industry-first structure allowing customers to buy foreign currency and sell back unutilised cash at zero markup, based on live exchange rates applicable on the day of transaction.
The move targets a common issue in retail forex transactions, where travellers typically lose money twice—first while purchasing foreign exchange at a premium over interbank rates, and again while converting unused foreign currency back into rupees at lower selling rates.
Industry estimates suggest the combined buy-sell spread in traditional forex pricing can exceed 5%.
According to the company, nearly 15% of purchased forex cash is typically returned by travellers for reconversion, leading to additional exchange losses under conventional pricing models, particularly for families and students who carry part of their travel budget in cash.
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Under the newly introduced Buy Back feature, customers can sell unutilised foreign currency notes within 60 days of purchase at zero markup, subject to eligibility conditions. The sell-back value must be equal to or lower than the original purchase amount.
Retail forex in India largely operates on a spread-based pricing model, where customers buy currency above interbank rates and sell it back below those rates, increasing overall transaction costs.
India’s outbound tourism market is projected to reach $61.7 billion by 2033, growing at a CAGR of 12.3%, according to industry estimates.
Amit Talwar, CEO, Niyo Forex, said the retail forex market has historically remained spread-driven and opaque. He noted that the company estimates nearly 15% of purchased forex cash is returned for reconversion, resulting in avoidable losses under traditional models, and added that the zero-markup buy-and-sell structure aims to improve transparency and predictability in currency transactions.
Sai Sankar, Chief Business Officer, Niyo Forex, said the company is building a transparent and scalable forex ecosystem by combining digital access with physical distribution, with a focus on simplifying cross-border currency transactions and addressing inefficiencies in traditional pricing models.
The service includes doorstep delivery of foreign currency, typically within 24 hours in supported locations, as well as doorstep pickup for eligible sell-back requests.
Earlier in 2025, Niyo acquired 90-year-old Kanji Forex Pvt. Ltd. and rebranded it as Niyo Forex, strengthening its RBI-licensed forex operations. The company has also outlined expansion plans to capture 10–15% of India’s cross-border forex market through a 50-branch phygital network across key outbound travel hubs, including Mumbai, Pune, Hyderabad, Bengaluru, and Gurugram.
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