Image Source: The Economic Times
Monday, September 8, 2025, marks the observance of Eid-e-Milad (Milad-un-Nabi) in several parts of India, leading to bank holidays in select regions. This newsletter provides a detailed guide to which banks will remain closed or open, how this affects banking operations across states, alternative options for customers, and the rationale behind holiday declarations.
Eid-e-Milad Bank Holiday: What You Need to Know
Eid-e-Milad commemorates the birth anniversary of Prophet Muhammad and is observed with prayers and festivities across India. While the festival’s national significance is recognized, bank holidays for Eid-e-Milad are typically state-specific, governed by the Reserve Bank of India’s (RBI) annual holiday calendar and state government notifications.
Key points regarding the bank holiday on September 8, 2025:
Banks in Mumbai and its suburban regions will be closed on September 8 as the Maharashtra government shifted the Eid-e-Milad bank holiday from September 5 to September 8.
Outside Mumbai, most banks continue to operate normally, including major metropolitan regions, except for other states or cities with separate holiday notifications.
The closure applies to all scheduled commercial banks, cooperative banks, and regional rural banks functioning in Mumbai.
The stock market and financial institutions in Mumbai will function normally on this day as Eid-e-Milad is not a recognized holiday for exchanges.
Other states such as Jammu and Srinagar will observe a bank holiday on a different Friday following Eid-e-Milad, i.e., September 12, 2025.
Anti-social or regional disturbances aside, the holiday implementation is smooth and announced well in advance.
How This Holiday Affects Banking Services
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On September 8, customers in Mumbai and its vicinities will experience the following impacts:
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All physical bank branches will remain closed, suspending in-person banking transactions.
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Scheduled banking services such as cheque clearance, demand drafts, and cash withdrawals via bank counters will be unavailable on this holiday.
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Automated services including ATMs, mobile banking, internet banking, Unified Payments Interface (UPI), and electronic funds transfers (NEFT/RTGS) will continue to operate uninterrupted.
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Any payments or settlements normally scheduled for September 8 will reflect in accounts on the next working day, i.e., September 9, 2025.
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Corporate clients and businesses should plan fund transfers and payment schedules considering the holiday to avoid operational delays.
Nationwide Bank Holiday Landscape for September 2025
In addition to September 8, numerous bank holidays are similarly observed in various Indian states throughout the month as per RBI guidelines. For September, there are 15 days marked as bank holidays nationally, including standard Sunday closures and second/fourth Saturdays, along with festival and state-specific observances.
Notable bank holidays include:
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September 3: Karma Puja closure in Ranchi
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September 4: First Onam closure in Thiruvananthapuram, Kochi
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September 5 & 6: Eid-e-Milad closures in select regions excluding Mumbai (shifted to September 8)
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September 12: Bank holiday in Jammu and Srinagar for Eid-e-Milad observance
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September 13 & 27: Second and fourth Saturdays nationwide
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September 14, 21, 28: Sundays across all regions
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Late September: Durga Puja and other regional holidays in eastern India
Customers are encouraged to check state-specific holiday calendars ahead of visits or transactions.
Alternative Ways to Manage Banking Needs on Holidays
Given the widespread use of digital platforms, customers can easily navigate holidays by adopting the following measures:
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Use mobile apps and internet banking portals for balance checks, fund transfers, bill payments, and investing via demat accounts.
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Schedule NEFT, RTGS, and UPI transactions before or after the holiday to ensure timely processing.
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Withdraw cash in advance from ATMs or bank branches on prior working days.
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Utilize cheque deposits in drop boxes, which will be processed on the next business day.
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Contact customer care centers or chatbots for assistance with banking queries during holiday closures.
Importance of Observing Bank Holidays
Bank holidays align with official state and national calendars to respect cultural, religious, and public observances. These breaks also provide banks and financial staff necessary downtime to prepare for operational continuity and systems maintenance.
Proper adherence ensures synchronization across banking networks, promoting efficient settlements, regulatory compliance, and customer convenience.
Summary: Will Your Bank Be Open on September 8, 2025?
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Banks in Mumbai and surrounding suburbs will be closed due to the Eid-e-Milad holiday shifted from September 5.
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Most other parts of India will see normal banking operations on this date, except where notified otherwise.
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Digital banking and ATM services remain fully functional, ensuring uninterrupted access to essential financial services.
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Stock exchanges in Mumbai remain open, separated from banking holiday schedules.
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Customers should plan transactions around these dates to avoid payment or service disruptions.
Staying informed about bank holidays is crucial for smooth financial management. Knowing when banks close helps avoid last-minute hassles, ensures timely payments, and maximizes the use of available digital channels.
Sources: My Pune Pulse, Marathi NDTV, The Economic Times, NDTV Profit, HDFC Bank, RBI Official Calendar
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