Niyo introduces zero-markup forex for travel money

By Aarav Garg

Niyo, an India-based travel FinTech platform, has introduced a zero forex markup buy-and-sell model aimed at reducing currency exchange costs for travellers.

Launched through its subsidiary Niyo Forex, the initiative allows customers to purchase foreign currency and sell back unused cash at live market rates without additional markup. Niyo Forex operates as a Reserve Bank of India-licensed Authorised Dealer Category II entity.

In India’s retail foreign exchange market, pricing typically follows a spread-based model, where travellers buy currency above interbank rates and sell it back below those rates. This difference can exceed 5%, increasing the overall cost of managing travel money.

According to the company, around 15% of purchased foreign currency is returned by travellers for reconversion. Under traditional models, this often leads to additional losses, particularly for families and students who rely on cash during international travel.

Niyo’s newly introduced buy-back feature allows customers to sell unused foreign currency notes within 60 days of purchase at zero markup, subject to certain conditions. The sell-back amount must not exceed the original purchase value.

The company said the model is designed to improve cost predictability and reduce financial penalties associated with overestimating cash requirements for travel.

Amit Talwar, CEO, Niyo Forex, said, “India’s outbound travel and forex market continue to remain significant, yet retail forex pricing has largely remained spread-driven and opaque. We estimate that nearly 15% of purchased forex cash is returned by travellers for reconversion, often resulting in avoidable exchange losses under traditional pricing models. Our zero-markup buy-and-sell model is designed to address this longstanding inefficiency by introducing greater transparency and predictability into currency transactions.”

Sai Sankar, Chief Business Officer, Niyo Forex, said, “We are building a transparent, scalable forex ecosystem that combines digital access with physical distribution. Our focus is to simplify cross-border currency transactions while addressing pricing inefficiencies inherent in traditional models.”