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Despite being celebrated publicly, NRIs face a lot of real friction just for being away from home.

The highest executives at the Central and State governments celebrate the contributions of Non-Resident Indians. The media goes gaga over the growing influence of Pravasi Bhartiyas (NRIs) and PIOs, prominent people of Indian origin have held some of the most visible offices in the world in recent years, from Kamala Harris as the first female US Vice President, to Rishi Sunak as the UK’s first British Asian Prime Minister, to Anita Anand now serving as Canada’s Minister of Foreign Affairs.

The captains of Indian industry assert that the growing size of the Indian diaspora makes it easier for them to do business. The soft power the Indian diaspora exerts is undeniable, and it opens genuine doors for the rest of India.

But behind all this glory and celebration, there’s a hidden but real trouble in paradise.

Two Opposite Worldviews: The Stigma of Being an NRI

⚡ Quick Answer

NRIs face a genuine gap between public celebration and everyday reality: welcomed as an economic and diplomatic asset in headlines, but often treated as guests who’ve overstayed, snobbish outsiders, or walking ATMs when actually back in India. The friction shows up in bureaucratic apathy, strained family dynamics, and real cultural distance that neither side fully acknowledges.

NRIs, especially those who have lived abroad a long time and built something for themselves, often find they aren’t genuinely welcome in the society they left behind.

Relationship managers push the latest scheme but hesitate to actually answer a simple question. Shopping in local markets, an NRI often gets the sense that the cab or auto driver has taken them for a ride. Relatives sometimes treat them like snobbish, rich ATMs who show up bearing gifts, and if they don’t spend their “easy” money treating local relatives, they’re no good. Read: Financial Blunder, NRIs Giving Money to Friends and Family.

If this sounds like a high-tension drama, it’s because it kind of is. It takes all kinds of people to make this world.

There’s plenty already written about the financial hardships NRIs face. We want to highlight the social and cultural friction instead, since the overall environment genuinely needs to improve for these daughters and sons of the soil living overseas.

On the Surface, NRIs Are Treated as an Asset

Enough has been written about this worldview already, so we’ll keep the contribution list brief:

  1. NRIs make up roughly 1% of India’s population but contribute a genuinely outsized share to India’s remittance economy, which regularly ranks among the largest in the world.
  2. They add real strength to India’s foreign exchange reserves, in a country that remains a net importer.
  3. They form a significant share of tourists visiting India, and act as informal brand ambassadors for Indian tourism and culture worldwide.
  4. NRIs in prominent roles as executives, scientists, doctors, entrepreneurs, and public figures have genuinely raised India’s global standing.
  5. India’s soft power, as hardworking, entrepreneurial, and pluralistic, owes a real amount to its large diaspora.
  6. Many NRIs contribute directly to societal upliftment: funding educational institutions, starting hospitals, sponsoring underprivileged students’ education.
  7. In an increasingly connected world, NRIs give India a genuine cross-border link that fewer other countries have at this scale.

Check: Unmatched Contribution by NRIs to the Indian Economy

But the Reality Doesn’t Match the Headlines

The reality on the ground is genuinely different from what public proclamations suggest. Here are some of the most common experiences NRIs report when visiting India, and sometimes even when they’re not there.

Treated Like a Guest Who’s Overstayed Their Welcome

A common shift shows up when NRIs attend a function or official program, welcomed as guests, not as family. And nobody wants a guest overstaying.

Many NRIs feel a similar shift from relatives and neighbours during a visit for a local or family function, an assumption that a longer stay means the NRI will assert themselves, flaunt their wealth, or make others look bad by comparison. In most cases, that’s simply not what’s actually happening. They just want to savour local festivities, culture, and warmth for a few more days, since it has to last them the next few years.

Check: What NRIs Should Consider Before Buying a Gadget Abroad for Gifting

NRI Money Is Welcome, Their Input Isn’t

Many NRI clients report that state and central governments alike want their remittances and investment, but genuine, constructive suggestions that run against vested interests tend to get quietly ignored. Emails go unanswered, calls don’t get returned, and even a scheduled trip to India doesn’t guarantee a meeting actually happens.

The pattern, as one NRI physician put it at a Pravasi Bhartiya Divas event, is that officials sometimes treat NRIs as though leaving India was their own fault, guests expected to hand over money and step back from having a real say in how it’s used.

Labeled as Snobbish

Another common label NRIs face is being called snobbish or arrogant, often for things like avoiding certain roadside food stalls, insisting on bottled water, or fussing over unfamiliar sanitation.

There’s a different, more sympathetic way to see this. Most people, NRI or not, who are used to air-conditioned travel find repeated exposure to crowded local trains or buses genuinely hard, even if they lived there daily years ago. The human body and mind adapt to new conditions, but it takes real time to readjust, and that friction reads as arrogance when it’s really just adjustment.

Improving general sanitation, transit, and public hygiene would also genuinely help India’s broader tourism numbers, not just NRI visits, since many far smaller countries currently attract more international tourists than India does.

Survey: Best Bank for NRIs

Official Apathy, at Home and Abroad

Bureaucratic friction doesn’t stop at Indian shores, it extends to embassies and consulates overseas too. NRIs commonly report real difficulty getting Embassy support, whether for genuine investment-related handholding or something as routine as attesting a Power of Attorney.

Many find it genuinely easier to reach a local politician in their host country than to get an appointment with an Indian Embassy official. Even NRIs hoping to return to India after decades abroad often struggle to get clear, accurate information.

Even within India, temporary or permanent visits, legitimate complaints to government officials at any level often go unanswered.

Assimilation Isn’t as Easy as It Looks

Adjusting to local culture and rebuilding strong bonds isn’t simple for NRIs either. Think about how long it takes to fall back into routine after even a week’s vacation. NRIs face a version of that at a much larger scale, having spent the majority of their lives in an entirely different culture and set of customs.

Many put in genuine extra effort to follow traditions and participate wholeheartedly in festivals, cultural or religious, only to be met with stares or quiet mockery rather than warmth.

Must Read: Why Do NRIs Want to Return to India?

Education and Healthcare Gaps

Education and healthcare are two areas most NRIs genuinely won’t compromise on. Coming from a country where certain health risks are more common, they’ve often grown used to more consistently available medical facilities, and outside a handful of metros and Tier-1 cities, finding strong care in India remains genuinely inconsistent.

NRI children face a parallel challenge at school, used to a more open, candid dynamic with teachers that doesn’t always translate well locally, alongside curriculum mismatches, second-language requirements, and an intense emphasis on marks that can feel genuinely unfamiliar.

Read: Child’s Higher Education, Things NRIs Should Consider

The Dream Sequence

Popular Indian cinema has long presented a romanticized version of NRIs seamlessly reintegrating into Indian society. If we genuinely want that version to be true rather than just a plot device, the first step is admitting there’s a real gap, then working on it individually, socially, officially, and politically.

India carries the mantra of Vasudhaiva Kutumbakam, embracing the entire world as one family. But if we can’t fully embrace our own people, and give them the respect they’ve genuinely earned, we can’t honestly claim to be both their first home and their final resting place.

Frequently Asked Questions

Why do NRIs sometimes get labeled arrogant when visiting India?
Often it’s less about attitude and more about the real physical and mental adjustment of returning to conditions you’re no longer used to daily, which reads as fussiness from the outside but is a genuine adaptation process.

Do NRIs actually have influence over Indian government policy?
Financial contribution and remittances are welcomed, but genuine policy influence from NRIs is often limited, with constructive suggestions frequently going unanswered at various levels of government.

What can NRIs do to ease the tension with relatives during visits home?
Open conversation about expectations, both financial and social, tends to help more than either silently complying or avoiding the topic. Many of the tensions described here stem from unspoken assumptions on both sides.

A country that calls itself home to the world should be able to call its own people home too, without conditions attached.

💬 Your Turn

Does any of this resonate with your own experience visiting India? Share your story in the comments.

Published on August 10, 2022

Hemant Beniwal


Hemant Beniwal is a CERTIFIED FINANCIAL PLANNER and his Company Ark Primary Advisors Pvt Ltd is registered as an Investment Adviser with SEBI. Hemant is also a member of the Financial Planning Association, U.S.A and registered as a life planner with Kinder Institute of Life Planning, U.S.A. He started his Financial Planning Practice in 2009 & is among the first generation of financial planners in India. He also authored Bestseller book "Financial Life Planning". 

  • Excellent article. I am surprised by your insight into NRIs problems even though you are probably not an NRI. Even though you have covered most of the issues facing NRIs / PIOs, there are many other difficulties that we NRIs face at the hands of Officials, Banks, Income tax department and even the government. There is not enough space here to elaborate all such issues, but I would present a few which make no sense as these are of no advantage to anybody: –
    AGE RELATED: Resident super-seniors above 80 years of age, need not file tax returns if income is only from pension, but NRIs have to file 40 page long ITR-2 even if income is below five lakh Rupees. Besides unlike residents NRI Seniors have to pay advance tax four times a year. My mother-in-law who is 109 years old faces this problem even though she cannot walk or hear. I have to file her return which is difficult as I am myself 87. Government does not gain anything by just repeating this injustice annually in every budget for years.
    REPATRIATION: As appreciated by you, NRIs contribute significantly to India’s economy. But RBI and all banks make it extremely difficult for NRIs to make small outward remittance of current income like rents, pensions or return on investments. Bank officials demand a lot of documents by emails but also insist on hard copies duly certified by an officer of a foreign branch of the bank even though no branch exists nearby. Sending hard copies of documents by post or courier from abroad is time consuming and expensive. Imagine Banks forcing NRIs to use snail mail in these modern times with approval of RBI. But the same banks accept inward remittance online without any documents ! What kind of country are we running. c

  • Spot on and truthful in all aspects. I found it weird being paraded around for some perceived social value by relatives. I had to come back twice as I am an only child but I am sorry to say I regret it

  • Very interesting article showing true picture of NRI. one more point about higher education we faced was that for example an NRI has to pay premium for medical seat in India and also at overseas in Africa, medical education institutions operated by Indian also charge higher fees for Indians than local students, who are discounted in fees.

    The FCNR deposits initially giving higher rates and suddenly reduced to less than one percent per annum. When economy felt pinch again they revised upward.

  • I am being taking care of by my sons in USA. I am 90 years and my wife 80. Since we fall under the category of number of days outside the country, had to convert our resident account to nro a/c. Many IT exemptions available as RESIDENT, gone, tax deducted @ 31 % , ppf/senior citizen saving scheme, etc need to be closed, extension NOT PERMITTED , CRUELTY on seniors like us, all because we are being taken CARE of by our children. TDS FOR 21/22 .HAVE NO INFO WHEN WILL BE REFUNDED.

  • Frequent power outages in my area adjacent to the capital Panaji. Our 5 year old building society having to buy water from the tanker mafia as the PWD narrow pipe only meets 40% of the society requirement during morning water supply pressure time. Very poor quality fruit and vegetable quality compared to supermarket in the Gulf. Potholed roads. Corruption at the RTO to register a new vehicle because city of birth is in a different Indian State even though passport shows local residence.

    • Hi Mr Rao,
      We are improving but these issues that you mentioned may not be solved in near future. Population, poverty & corruption at all levels are shackles for us to become a country with better quality of life.

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