The travel fintech platform describes this as a groundbreaking structure that allows customers to acquire foreign currency and sell back unspent cash at zero markup, based on live exchange rates applicable on the transaction day.
This initiative addresses a prevalent issue in retail forex transactions, where travellers often incur double losses—first when buying foreign exchange at a premium above interbank rates, and again when converting leftover foreign currency back to rupees at a disadvantageous selling rate.
Industry estimates indicate that the combined buy-sell spread in standard forex pricing can surpass 5%.
The company reports that approximately 15% of purchased forex cash is commonly returned by travellers for reconversion, leading to further exchange losses under traditional pricing models, especially for families and students who carry cash as part of their travel budget.
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With the newly introduced Buy Back feature, customers can sell unutilised foreign currency notes within 60 days of purchase at zero markup, subject to eligibility criteria. The sell-back value must be equal to or less than the original purchase amount.
Retail forex in India primarily operates on a spread-based pricing model, where customers buy currency at rates above interbank levels and sell it back at lower rates, raising total transaction costs.
India’s outbound tourism market is expected to reach $61.7 billion by 2033, with a CAGR of 12.3%, according to industry forecasts.
Amit Talwar, CEO of Niyo Forex, noted that the retail forex market has historically been spread-driven and lacking transparency. He pointed out that around 15% of purchased forex cash is returned for reconversion, leading to unnecessary losses under traditional models, and emphasized that the zero-markup buy-and-sell structure seeks to enhance transparency and predictability in currency transactions.
Sai Sankar, Chief Business Officer of Niyo Forex, mentioned that the company is creating a transparent and scalable forex ecosystem by integrating digital access with physical distribution, aiming to simplify cross-border currency transactions and tackle inefficiencies in traditional pricing models.
The service also includes doorstep delivery of foreign currency, typically within 24 hours in available locations, as well as doorstep pickup for eligible sell-back requests.
Earlier in 2025, Niyo acquired the 90-year-old Kanji Forex Pvt. Ltd. and rebranded it as Niyo Forex, reinforcing its RBI-licensed forex operations. The company has also announced 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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