All public sector banks and regional rural banks (RRBs) across India will remain fully operational on Sunday, 27 September, the Finance Ministry confirmed on Wednesday, as the government moved to cushion the public from a potential six-day banking blackout triggered by a proposed three-day nationwide strike by the United Forum of Bank Unions (UFBU) beginning 28 September.

The Reserve Bank of India (RBI) has granted approval for all bank branches, offices, ATM-linked branches, and Currency Chests to remain fully functional on 27 September. The move is designed to prevent customers from facing an unbroken stretch without banking access, as the strike coincides with the preceding weekend holidays of 26 and 27 September.

Why Banks Are Opening on Sunday

Without Sunday operations, bank customers could face a continuous closure spanning five to six days — from the weekend through the end of the strike on 30 September. The Finance Ministry said the welfare and convenience of bank customers is the government's 'foremost priority', and described the Sunday opening as a proactive step to keep essential services uninterrupted.

The UFBU, along with certain other unions of public sector banks and RRBs, called the strike in support of two demands: the implementation of a five-day banking week and the withdrawal of the Performance Linked Incentive (PLI) scheme.

Government's Concession on PLI Scheme

In a significant concession, the government has decided to hold the PLI scheme in abeyance after detailed discussions with union representatives — fulfilling one of the two central demands of the UFBU. The Finance Ministry noted that this addressed the majority of the unions' concerns, and that the remaining demand — the five-day banking week — continues to be examined.

Notably, this is not the first time the government has sought to de-escalate union action in the banking sector through partial concessions; a similar pattern was seen during earlier strikes over wage revision settlements in recent years.

Government and Management Appeal to Unions

Both the government and bank managements have formally appealed to the UFBU and affiliated unions to defer or call off the strike. The Finance Ministry urged bank employees to 'refrain from resorting to strikes, work towards resolving issues through dialogue, and ensure that banking services remain uninterrupted.'

The statement emphasised that the government has proactively introduced welfare measures for the banking workforce and is continuing to engage with outstanding demands through structured dialogue.

What Bank Customers Should Know

Bank branches, ATMs, and Currency Chests will function normally on 27 September. If the strike proceeds as planned from 28 to 30 September, customers are advised to complete critical transactions — including cheque deposits, loan repayments, and cash withdrawals — either on Sunday or before the strike window opens on Monday. Digital banking channels, including NEFT, RTGS, UPI, and internet banking, are expected to remain available through the strike period, though branch-level services may be affected.

Whether the UFBU proceeds with the strike or accepts the government's appeal for dialogue will determine the scale of disruption in the final days of September.