The Full Form of LERMS is‍ Liberalized exchange rate management system.

O Liberalized Exchange Rate Management System”, (LERMS for short), introduced with effect from 1.3.1992. O Under the LERMS, Exporters of goods and services and those who are recipients of remittances from abroad could sell the bulk of their foreign exchange receipts at market determined rates. O Similarly, those who need to import goods and services or undertake travel abroad could buy foreign exchange to meet such needs, at market determined rates from the authorized dealers, subject to their transactions being eligible under the liberalized exchange control system.