A new report by Wise, Passport & Paisa: India Travel Money Report 2026, shows that while Indians are travelling internationally more comfortably, many still struggle to grasp the true cost of a trip overseas due to hidden exchange rate markups and unidentified international forex costs. Read on to know more.
Wise Report Shows Forex Cost Is Biggest Travel Anxiety
Based on a survey of over 1,000 Indian international tourists, the report revealed that 78% plan to boost their overseas travel spending after the reduction of Tax Collected at Source (TCS) on foreign travel to 2% in Budget 2026. However, handling travel expenses remains the biggest challenge for Indian travellers, which ranks higher than visa issues, flight delays, language barriers, or connectivity issues.
The study points out a major “travel money blind spot”. While travellers thoroughly compare flight and hotel prices, many pay less attention to exchange rates, international forex costs and foreign transaction charges. Hidden exchange rate fees and non-transparent pricing stood out as the top forex-related issues among those surveyed.
Despite India’s fast shift towards digital payments, cash continues to be the most popular way to manage money internationally. Around 38% of travellers exchange cash before departure, making it the most frequently used payment method for international trips. Debit and credit cards follow, while only 9% use digital multi-currency accounts.
Travel Habits & Choices Among Different Generations
Additionally, travel habits differ across different generations. Gen Z travellers remain the most cash-dependent, while Gen X travellers are more likely to rely on cards.
When opting for a travel card, global recognition emerged as the most key factor for Indians, ahead of rewards, airport lounge access, eSIM benefits, or cheap ATM fees. Tourists value accuracy and want assurance that their card will work smoothly abroad.
The report also discovered that Southeast Asia continues to be the most popular international destination for Indians, accounting for 34% of planned trips. Europe follows at 15%, while the Middle East accounts for 14%. Among younger generations of travellers, destinations such as Japan and South Korea are seeing growing interest, while Europe remains especially popular among Gen X travellers.
Overall, the report suggests that while Indians are travelling more than ever, transparency, reliability, and better awareness of forex costs remain top concerns when managing money abroad.
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FAQs
What are forex fees?
FX (Foreign Exchange) fees are charges applied by banks, credit card issuers, or financial platforms whenever you make a transaction that requires converting one currency to another.
What is the cost of forex?
Forex charges (foreign transaction fees) are costs added when you send money or spend in a foreign currency.
Is forex free to use?
Forex trading itself isn't completely free. While you don't pay exchange fees, brokers charge for the service. You can practice with free demo accounts, but live trading involves hidden and direct costs.