Bank Holiday on July 7, 2025: Banks to Remain Closed in Several States for Muharram

July 7, 2025 (Monday), is likely to be observed as a bank holiday in several Indian states on the occasion of Muharram, one of the most significant days in the Islamic calendar.

Bank Holiday on July 7, 2025: Reason, States, and What You Should Know

Muharram marks the beginning of the Islamic New Year and commemorates the martyrdom of Imam Hussain, the grandson of Prophet Muhammad, at the Battle of Karbala. The date may slightly vary depending on the sighting of the moon, but it is tentatively expected to fall on July 7.

Why Is July 7 a Bank Holiday?

Muharram is observed as a public holiday in many parts of India and is recognized by both central and state governments. It is a solemn occasion, especially for the Shia Muslim community, who mourn the tragedy of Karbala through processions, prayers, and fasting. As per the Reserve Bank of India (RBI) holiday calendar, banks are expected to remain closed on July 7 in multiple states where Muharram is officially declared a holiday.

States Likely to Observe Bank Holiday on July 7, 2025

The following states are expected to declare a bank holiday on July 7, 2025, subject to official notification and confirmation:

• Delhi
• Uttar Pradesh
• Bihar
• West Bengal
• Maharashtra
• Telangana
• Karnataka
• Tamil Nadu
• Kerala
• Jharkhand
• Odisha
• Assam
• Madhya Pradesh
• Jammu & Kashmir
• Rajasthan

Note: Not all banks across India will be closed. In states where Muharram is not a gazetted holiday, banks may operate as usual.

Impact on Banking Services

Branch Banking: Banks will remain shut in states observing the Muharram holiday.

Online Banking: Services like UPI, internet banking, and mobile apps will remain fully functional.

ATM Services: Will be available, though cash refill may be delayed due to branch closures.

Cheque Clearing: May be delayed by one working day.

What Should Customers Do?

1. Plan important bank visits, fund transfers, and cash withdrawals in advance.

2. Use digital banking channels for urgent transactions.

3. For state-specific bank closures, refer to the official RBI holiday list or contact your bank.

Conclusion

July 7, 2025, is expected to be a bank holiday in multiple Indian states due to Muharram. While banks in some states will be closed, digital services remain uninterrupted. Customers are advised to check local notifications and plan their banking activities accordingly.