Sending money from Canada to India has become an essential financial activity for millions of Canadian businesses and individuals. Whether you're paying suppliers in Mumbai, supporting remote employees in Bangalore, or managing cross-border operations, the need for efficient international money transfers continues to grow. India remains one of the world's top remittance destinations, with inward remittances jumping from $55.6 billion in 2010-11 to $118.7 billion in 2023-24 ¹. The country's central bank projects that remittances to India will reach $160 billion in 2029 ¹.
The Canada-India corridor represents one of the most active international payment routes, driven by strong business ties, a large diaspora community, and expanding trade relationships. For Canadian businesses operating in this space, finding the right international transfer solution can mean the difference between smooth operations and costly delays.
Understanding the Canada to India payment landscape
The Indian Rupee (INR) serves as the official currency of India, controlled by the Reserve Bank of India ². In September 2018, the Reserve Bank of India reported that there were about 19.25 trillion INR in circulation ². The currency plays a significant role in international trade, with countries such as Botswana, Fiji, Germany, Guyana, Israel, Kenya, and Malaysia using the Indian Rupee for trade settlements ².
Exchange rate fluctuations between CAD and INR can significantly impact your transfer costs. On February 17, 2025, the U.S. Dollar to Canadian Dollar (USD/CAD) exchange rate rose by about 4.42%, indicating an appreciation of the US Dollar relative to the Canadian Dollar ². These currency movements affect the CAD-INR exchange rate and ultimately determine how much your recipients receive.
Regulatory framework for sending money to India
The Reserve Bank of India (RBI) governs international transfers under India's foreign exchange regulations ³. Understanding these regulations helps ensure your transfers comply with all requirements and reach their destination without delays.
The Liberalized Remittance Scheme (LRS) provides the primary framework for these transactions, allowing residents to transfer up to USD 250,000 per financial year for various approved purposes ³. For Non-Resident Indians (NRIs), the limits are even higher – they can remit up to USD 1 million yearly from NRO accounts ³.
All remittances must be routed via RBI-authorized financial institutions (Authorized Dealers) ³. This requirement ensures proper documentation and compliance with foreign exchange regulations.
How Airwallex simplifies Canada to India transfers
Airwallex offers high-speed business transfers to global suppliers and employees in India from Canada at low interbank rates ⁴. The platform eliminates many traditional barriers that businesses face when sending international payments.
Speed and efficiency
Funds sent through Airwallex are received quickly, securely, and in as little as one business day ⁴. This speed advantage becomes crucial when managing time-sensitive supplier payments or ensuring employees receive their compensation promptly.
The global payments landscape continues to evolve rapidly. The digital payment market is expected to grow at a compound annual growth rate of 13.5% from 2024 to 2033 ⁵. The estimated market value of the digital payment industry in 2024 was $10.18 Trillion, with forecasts suggesting it will reach $32.07 Trillion by 2033 ⁵.
Transparent pricing structure
Airwallex offers market-leading FX rates on every transaction, big or small, with zero hidden fees ⁴. This transparency helps businesses accurately forecast their international payment costs and avoid unexpected charges.
Payments are made using Airwallex's local network to eliminate transaction fees and deliver your funds faster and in full ⁴. While Airwallex may charge additional transfer fees, for example to cover the cost of using the SWIFT network, these are clearly communicated upfront ⁴.
Key benefits for Canadian businesses
Global reach and currency support
Airwallex operates in 150+ countries and regions, and deals with 60+ currencies ⁶. This extensive network ensures your business can scale its operations across multiple markets while maintaining consistent payment processes.
The platform allows you to pay your global suppliers and employees without the expense and hassle of the traditional banking system ⁷. This streamlined approach reduces administrative burden and improves operational efficiency.
Guaranteed delivery amounts
Payments through Airwallex can be received in as little as one business day with the full amount on delivery guaranteed ⁸. This guarantee provides certainty for both senders and recipients, eliminating concerns about unexpected deductions or fees.
Industry trends shaping international transfers
The cross-border payments landscape continues to evolve rapidly. Global cross-border bank credit expanded by $1.5 trillion in the first quarter of 2025, reaching a record $34.7 trillion ⁹. The year-on-year growth rate of cross-border bank credit was 7% at end-Q1 2025 ⁹.
Consumer priorities in international transfers
Recent research reveals what matters most to users of international transfer services. According to a Thunes survey conducted in April and May 2025, 65% of respondents rank speed as their top priority when choosing a payment method ¹⁰. Additionally, 44% of respondents are frustrated by poor exchange rates, while 35% are frustrated by high or hidden fees ¹⁰.
These priorities align perfectly with what Airwallex delivers – fast transfers, competitive exchange rates, and transparent pricing.
The rise of digital payment solutions
The shift toward digital payment methods continues to accelerate. In 2022, $2.2 trillion of revenue was generated by the payment sector globally, an increase of 11% from the previous year ¹¹. By 2027, $3.2 trillion of revenue is expected to be generated by the payment sector ¹¹.
Digital wallets are forecast to be used in 61% of digital transactions in 2028, up from 50% in 2023 ¹¹. This trend toward digital solutions reinforces the importance of choosing a modern, technology-driven transfer platform.
Practical considerations for Canada-India transfers
Documentation requirements
When sending money to India, proper documentation ensures smooth processing. Essential documents for all outward remittances include your Permanent Account Number (PAN), which is mandatory for all transactions under the Liberalized Remittance Scheme ³.
For NRO Account transfers, primary forms required are Form A2 (purpose declaration) and additional documentation includes Form 15CA and Form 15CB (tax forms), self-attested passport copy, source of funds documentation, and CA certificate for Form 15CB ³.
Tax implications
Understanding tax obligations helps avoid surprises. Tax Collected at Source (TCS) on Outward Remittance (Effective 2025) includes: No TCS on education remittances up to ₹7 lakh financed by loans; 0.5% above this amount, 5% TCS on education or medical treatment remittances exceeding ₹7 lakh not financed by loans, and 20% TCS on all other remittance purposes exceeding ₹7 lakh per financial year ³.
Comparing transfer options
The international transfer market offers various options, each with distinct advantages and limitations. Traditional banks often involve complex processes and higher costs. In the US, credit card fees are unregulated and can go up as high as 3.5% ¹¹. Merchants paid approximately $138 billion in processing fees in 2022 ¹¹.
Money Transfer Operators remain popular, with 44% of respondents using them for international transfers ¹⁰. However, 20% use banks, and 32% use mobile wallets for sending money ¹⁰.
Airwallex positions itself as a modern alternative, combining the reliability of traditional financial services with the efficiency of digital technology. The platform provides multi-currency accounts to receive funds, high-speed international transfers, and multi-currency company & employee cards ¹².
Future developments in cross-border payments
The international payments landscape continues to evolve with new technologies and partnerships. PayPal announced on July 22, 2025, that it has partnered with global wallet companies to create a platform called PayPal World, designed to make cross-border commerce easier ¹³. The launch partners include India's NPCI International Payments Limited, which operates mobile payments framework UPI (Unified Payment Interface) ¹³.
UPI dominates digital payments in India, accounting for about 85% of the total volume of retail digital payments, according to regulatory data ¹⁴. In India, UPI transactions hit more than $238 billion just for the month of June, according to NPCI data ¹³.
Emerging payment technologies
Stablecoins enable near-instant global transfers, aligning with the G20's target of 75% of cross-border remittances arriving within one hour and the remainder within one business day by the end of 2027 ¹⁰. Open banking can provide real-time data on fees, exchange rates, and transaction status, reducing hidden costs and boosting consumer confidence ¹⁰.
The Fedwire Funds Service is expected to migrate to ISO 20022 in March 2025 ¹⁵. This standardization will improve interoperability and efficiency in international transfers.
Best practices for sending money to India from Canada
Timing your transfers
Exchange rate fluctuations can significantly impact transfer costs. The Indian rupee declined 0.2% on the day to 86.8025 per U.S. dollar on June 23, 2025 ¹⁶. Monitoring exchange rates and timing transfers strategically can help maximize value.
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Choosing the right transfer method
Consider your specific needs when selecting a transfer method. For regular supplier payments, setting up recurring transfers through Airwallex can save time and ensure consistent payment schedules. The platform offers automated accounts payable management and integrations with eCommerce platforms ¹².
Managing multiple currencies
For businesses dealing with multiple currencies beyond CAD and INR, Airwallex supports transfers to 150+ countries and regions, in 60+ currencies ¹⁷. This comprehensive coverage eliminates the need for multiple payment providers.
Conclusion
Sending money from Canada to India doesn't have to be complicated or expensive. With the right financial services partner, businesses can streamline their international transfers while reducing costs and improving efficiency. The global payments landscape continues to evolve, with Latin America forecast to be the fastest growing region with a CAGR of 11% from 2022-27 ¹¹.
Airwallex provides a comprehensive solution for Canadian businesses sending money to India, offering competitive exchange rates, fast transfers, and transparent pricing. With funds received in as little as one business day and market-leading FX rates on every transaction ¹⁷, the platform addresses the key priorities identified by international transfer users.
As cross-border commerce continues to grow and new technologies emerge, choosing a modern, scalable payment solution becomes increasingly important. Whether you're paying suppliers, supporting remote teams, or managing international operations, Airwallex provides the tools and infrastructure to make your Canada to India transfers faster, more cost-effective, and more reliable.
Start optimizing your international transfers today and experience the difference that modern financial technology can make for your business operations.
FAQ
How does Airwallex help send money from Canada to India?
Airwallex provides fast, secure international transfers from Canada to India with competitive exchange rates and transparent pricing. The platform offers market-leading FX rates and eliminates hidden fees, making it cost-effective for both businesses and individuals to send money across borders.
What are the regulatory requirements for sending money from Canada to India?
Money transfers from Canada to India must comply with both Canadian and Indian regulations. The Reserve Bank of India (RBI) governs inward remittances under India's foreign exchange regulations, while Canadian senders must follow anti-money laundering and know-your-customer requirements through authorized financial service providers.
What is the current CAD to INR exchange rate trend?
The Canadian Dollar to Indian Rupee exchange rate has shown significant fluctuations throughout 2024. Historical data indicates varying rates based on economic factors, making it important to monitor exchange rates and use services like Airwallex that offer competitive real-time rates for optimal transfer value.
Are there limits on how much money can be sent from Canada to India?
While there are no specific limits on sending money from Canada to India, recipients in India may face certain restrictions. For example, NRIs can remit up to USD 1 million yearly from NRO accounts for outward transfers, and all inward remittances are subject to RBI guidelines and reporting requirements.
What fees does Airwallex charge for Canada to India transfers?
Airwallex offers transparent pricing with competitive fees for international transfers from Canada to India. The platform provides clear fee breakdowns without hidden charges, typically offering better rates than traditional banks. Specific fees depend on transfer amount, payment method, and delivery speed selected.
How long does it take to send money from Canada to India with Airwallex?
Airwallex enables fast international transfers from Canada to India, typically completing within 1-2 business days depending on the payment method and recipient bank. The platform's efficient processing system and established banking partnerships help ensure quick delivery of funds to Indian recipients.
Citations
https://techcrunch.com/2025/06/15/aspora-gets-50m-to-build-remittance-solutions-for-indian-diaspora/
https://www.xtransfer.com/tools/en/exchange-rate/inr-to-cad?amount=1500
https://www.airwallex.com/ca/business-account/transfers/send-money-to-india
https://www.airwallex.com/ca/business-account/transfers/send-money-to-pakistan
https://www.airwallex.com/ca/business-account/transfers/send-money-to-china
https://www.airwallex.com/ca/business-account/transfers/send-money-to-bangladesh
https://www.thunes.com/news/top-growth-drivers-in-consumer-cross-border-payments/
https://www.airwallex.com/ca/business-account/transfers/send-money-to-canada
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Airwallex Editorial Team
Airwallex’s Editorial Team is a global collective of business finance and fintech writers based in Australia, Asia, North America, and Europe. With deep expertise spanning finance, technology, payments, startups, and SMEs, the team collaborates closely with experts, including the Airwallex Product team and industry leaders to produce this content.
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- Understanding the Canada to India payment landscape
- How Airwallex simplifies Canada to India transfers
- Key benefits for Canadian businesses
- Industry trends shaping international transfers
- Practical considerations for Canada-India transfers
- Comparing transfer options
- Future developments in cross-border payments
- Best practices for sending money to India from Canada
- Conclusion
- FAQ
- Citations
