Harshvardhan Mishra
As 2025 draws to a close and people prepare to welcome New Year 2026, many bank customers across India are seeking clarity on whether bank branches will be operational on December 31, 2025 (New Year’s Eve) and January 1, 2026 (New Year’s Day).
Since bank holidays in India vary by state and are governed by the Reserve Bank of India (RBI) along with state government notifications, branch operations may differ depending on location. Knowing these details in advance can help customers plan important financial tasks such as cash deposits, cheque clearance, and document-related banking work.
Will Banks Be Closed on December 31, 2025?
Yes, banks will remain closed on December 31, 2025, but only in select states.
States Where Banks Will Be Closed on December 31, 2025:
- Mizoram
- Arunachal Pradesh
In these states, banks will observe holidays on New Year’s Eve due to local and regional observances, including New Year’s Eve celebrations and Imoinu Iratpa.
In most other states, banks are expected to function normally on December 31, subject to local notifications.
Will Banks Be Closed on January 1, 2026?
Yes, January 1, 2026 (New Year’s Day) is a bank holiday in several states across India.
States Where Banks Will Remain Closed on January 1, 2026:
- Mizoram
- Tamil Nadu
- Sikkim
- Manipur
- Arunachal Pradesh
- Nagaland
- West Bengal
- Meghalaya
In these states, banks will remain shut in observance of New Year’s Day and regional festivals such as Gaan-Ngai.
What Banking Services Will Remain Available?
Even on bank holidays, customers will continue to have access to digital banking services, including:
- ATMs for cash withdrawal
- UPI transactions
- Internet banking
- Mobile banking apps
- Online bill payments and fund transfers
However, branch-based services such as:
- Cheque clearing
- Large cash deposits or withdrawals
- Issuance of demand drafts
- Document verification
will not be available on bank holidays.
Important Advisory for Bank Customers
Customers are advised to:
- Complete urgent branch-related work in advance
- Use digital banking platforms during holidays
- Check state-specific RBI holiday notifications for confirmation
It is also important to remember that, as per RBI rules, banks across India remain closed on every second and fourth Saturday of each month, in addition to Sundays and notified holidays.
Final Word
Bank holidays around New Year differ from state to state, making it essential for customers to stay informed. While December 31, 2025, is a working day in most states, January 1, 2026, will see bank closures in several regions. Planning ahead ensures uninterrupted access to banking services during the festive transition into the new year.
