People travelling overseas can now carry foreign exchange up to $3,000 or its equal amount in other currencies without the central bank's approval.

In a notice, the RBI stated that it has raised the cash limit for foreign travel to $3,000 from $2,000 with immediate effect.

"The existing limit has been reviewed and it has been decided to increase this ceiling, with immediate effect," the bank said.

RBI evaluated this ceiling during November 2001.

But, for an amount of over $3,000, the tourists will have to seek permission from the central banking institution.

The central bank also said these conditions would not applicable to those traveling to Iraq, Libya, Iran, Russia and the CIS (former Soviet central Asian republics) nations.

Those journeying to Iraq and Libya would carry on getting $5,000, it said, adding that the provisions for travelers to Iran, Russia and CIS nations had not been modified. (With Inputs from Agencies)