of the country banking There has been a demand for 5-day banking in the sector for a long time. A big decision on this has come out on 29 September 2026. Indian Banks Association (IBA) has constituted a high level committee to discuss the modalities of implementing 5 day banking. This big step will directly affect about 15 lakh employees and officers working in government, private and rural banks across the country.
This decision has been taken after the consensus reached in the meeting held between the Negotiating Committee of IBA and United Forum of Bank Unions (UFBU) and BKSM on 27 September 2026. If this proposal goes ahead, bank branches will remain closed for general customers on all Saturdays and Sundays, but digital services will continue. In the coming weeks, the recommendations of this committee are likely to be prepared and sent to the Finance Ministry and the Central Bank.
Structure of High Level Committee: Rajneesh Karnataka becomes Chairman
According to the official information released on September 29, 2026 by Arvind Mishra, Senior Advisor (HR&IR), IBA, officials from both bank management and employee organizations have been included in this special committee. Bank of India MD and CEO Rajneesh Karnataka has been appointed chairman of this high level committee. At the same time, Punjab National Bank MD and CEO Ashok Chandra has been made the alternate chairman.
Existing system vs new model of 5 day banking
Under the current system, banks have a holiday on the second and fourth Saturdays of every month, while bank branches open normally on the first, third and fifth Saturdays. Once the new model is implemented, all Saturdays will be declared complete holidays. 5 days work is already successfully implemented in the offices of Life Insurance Corporation of India (LIC) and Reserve Bank of India (RBI), hence the committee will prepare the operational structure for commercial banks on similar lines.
Conclusion
The formation of a High Level Committee on Banking for 5 days by IBA on 29 September 2026 is an important progress. This has made a solid beginning towards fulfilling the long standing demand of bank employees. In the future, general account holders will have to develop the habit of completing their branch related work between Monday to Friday.