Bank Holiday on May 16: Are Banks Closed on the Third Saturday? Here’s Why RBI Declared a Holiday
Many bank customers are confused about whether banks will remain open on Saturday, May 16, 2026, since it falls on the third Saturday of the month. Normally, banks across India remain operational on the first and third Saturdays, while second and fourth Saturdays are official holidays.
However, this time there is a special exception in one state.
According to the holiday schedule issued by Reserve Bank of India, banks will remain closed on May 16 only in Sikkim due to the celebration of State Day. In all other states, including Delhi, Uttar Pradesh, Bihar, and Rajasthan, bank branches will function normally.
Why Are Banks Closed in Sikkim?
Sikkim celebrates its Statehood Day every year on May 16. On this date in 1975, Sikkim officially became the 22nd state of India, ending the monarchy system and beginning democratic governance in the region.
In 2026, the state is celebrating its 50th Statehood Day, due to which the RBI has declared an official bank holiday for all bank branches operating in the state.
Customers in Sikkim are advised to complete urgent banking work in advance, although digital banking services such as UPI, internet banking, ATMs, and mobile banking are expected to remain available.
Bank Holidays Remaining in May 2026
Apart from May 16, banks will also remain closed on several other dates during May 2026 because of weekends and regional festivals.
Nationwide Weekly Holidays
Banks across India will remain closed on all Sundays:
- May 3
- May 10
- May 17
- May 24
- May 31
Banks will also remain closed on Saturday, May 23, due to the fourth Saturday holiday.
Upcoming Regional and Festival Holidays
- May 26: Holiday in some regions on the occasion of Kazi Nazrul Islam Jayanti
- May 27–28: Bank closures in several states due to Eid al-Adha (Bakrid) celebrations
States and Cities With Bank Holidays on May 16
Bank branches will remain closed only in:
- Gangtok
- Other areas of Sikkim
Banks will remain open in most major cities including:
- Delhi
- Mumbai
- Lucknow
- Jaipur
- Patna
- Chandigarh
- Bengaluru
- Hyderabad
RBI Holiday Calendar Reminder
The Reserve Bank of India issues bank holiday schedules based on national holidays, regional festivals, and state-specific events. Since some holidays apply only in certain states, customers should always verify local bank schedules before planning branch visits.
Even during holidays, online banking services and ATM facilities generally continue to operate without interruption.
