Government Transfers Over Rs 72,000 Crore in Unclaimed Bank Deposits to RBI Fund
More than ₹72,000 crore in unclaimed bank deposits, including funds held by foreign lenders, have been transferred to a Reserve Bank of India (RBI) fund, as disclosed by the government in Parliament. This significant amount, which has remained untouched for over a decade, is now part of the Depositor Education and Awareness (DEA) Fund. Minister of State for Finance Pankaj Chaudhary provided this information in a written response to the Rajya Sabha, highlighting the classification of deposits that have been inactive for ten years or more.
Public Sector Banks Lead in Unclaimed Deposits
The data presented to Parliament reveals that public sector banks hold the majority of these unclaimed deposits. As of January 28, 2026, state-owned banks accounted for ₹60,571.02 crore of the total unclaimed amount. In contrast, private sector banks reported ₹9,607.76 crore, while foreign banks had ₹2,275.01 crore in unclaimed deposits. The total across the banking system reached ₹72,454 crore, underscoring the scale of unclaimed funds that have accumulated over the years.
Government Initiatives to Assist Depositors
To tackle the issue of unclaimed deposits and prevent further accumulation, the government and the RBI have implemented several initiatives. One notable measure is the launch of UDGAM (Unclaimed Deposits – Gateway to Access Information), a centralized online platform that enables the public to search for unclaimed deposits across various banks. Additionally, the Banking Laws (Amendment) Act, 2025, has introduced provisions allowing customers to make up to four nominations, either simultaneously or successively, enhancing the chances for rightful claimants to access their deposits.
Utilization of the DEA Fund
Minister Chaudhary explained that the DEA Fund is not only a repository for unclaimed deposits but also finances initiatives aimed at enhancing financial awareness. The fund supports programs focused on financial literacy, particularly among marginalized groups, and funds seminars on safe banking practices. Furthermore, it backs research and projects that promote depositor education, ensuring that individuals are better informed about their banking rights and options.
Priority Sector Lending and Financial Trends
In response to another inquiry, the minister announced that loans sanctioned by banks to the National Cooperative Development Corporation (NCDC) for cooperative societies will now qualify as priority sector lending. This change applies to banks excluding regional rural banks, urban cooperative banks, small finance banks, and local area banks, adhering to the conditions outlined in the Master Direction on Priority Sector Lending, 2025. Additionally, Chaudhary reported that the total corpus of the National Investment and Infrastructure Fund (NIIF) reached ₹33,249 crore as of December 2025, with investments across various sectors. He also noted a rise in outstanding unsecured personal loans, which reached ₹9,53,181 crore by March 31, 2025, although their share in total retail advances has decreased. The RBI continues to implement regulatory measures to manage risks and maintain financial stability.
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