What is meant by Liberalised Remittance Scheme (LRS)? State the permissible capital account transactions which may be handled by an individual in this process, under the Foreign Exchange Management Act (FEMA), 1999.

Under the Liberalised Remittance Scheme (LRS), Authorised Dealers may freely allow remittances by resident individuals up to USD 2,50,000 per Financial Year (April-March) for any permitted current or capital account transaction or a combination of both. The permissible capital account transactions by an individual under LRS are: opening of foreign currency account abroad with a bank; purchase of property abroad; making investments abroad- acquisition and holding shares of both listed and unlisted overseas company or debt instruments; acquisition of qualification shares of an overseas company for holding the post of Director; acquisition of shares of a foreign company towards professional services rendered or in lieu of Director's remuneration; investment in units of Mutual Funds, Venture Capital Funds, unrated debt securities, promissory notes; setting up Wholly Owned Subsidiaries and Joint Ventures; extending loans including loans in Indian Rupees to Non-resident Indians (NRIs) who are relatives as defined in Companies Act, 2013.