The government plans to lift the cap on overseas remittance limiting individuals to a maximum of 50-thousand U.S. dollars per year.

According to government authorities, the finance ministry is scheduled to announce the eased regulation late this month as part of the new foreign exchange law aimed at removing unnecessary restrictions imposed by the current law and meeting global standards.

The revisions seek to update the existing law that was introduced in 1999 to curb the outflow of foreign currencies. The new legislation will reportedly be pushed with an aim for implementation from the second half of next year.

Under the current law, South Koreans can freely remit up to 50-thousand dollars overseas every year, with amounts exceeding the limit permitted only when the reason for the transfer is reported and verified in advance.

Failure to follow reporting regulations can result in a year imprisonment and a 100 million won fine.