India’s financial system is powered by a strong network of government banks, also known as public sector banks (PSBs). These banks are majority-owned by the Government of India and are trusted for their safety, wide reach, and customer-first services.

As of 2025, after several mergers and consolidations, there are 10 major government banks in India. If you are looking for a trusted place to save, invest, or borrow money, choosing the right government bank is important.

Below is the updated and most relevant list of government banks in India in 2025, highlighting the top performers.

List of Government Banks in India 2025

1. State Bank of India (SBI)

  • Largest government bank in India by assets and branches.

  • Strong digital banking services and rural presence.

  • Ideal for savings, home loans, and business banking.

2. Punjab National Bank (PNB)

  • One of the oldest public sector banks.

  • Wide network of branches and ATMs across India.

  • Offers personal loans, credit cards, and MSME support.

3. Bank of Baroda (BoB)

  • A top-performing government bank post-merger.

  • Global presence and strong corporate banking.

  • Offers good digital and investment services.

4. Canara Bank

  • Known for attractive loan interest rates.

  • Good customer support and digital banking.

  • Among the most stable banks in the government bank list.

5. Union Bank of India

  • Expanded after merging with Andhra Bank and Corporation Bank.

  • Offers modern banking services with a traditional approach.

6. Indian Bank

  • Merged with Allahabad Bank.

  • Offers reliable retail banking and savings products.

7. Bank of India (BOI)

  • Offers a variety of loan and deposit schemes.

  • Good for both urban and semi-urban customers.

8. Central Bank of India

  • One of India’s oldest government banks.

  • Focuses on rural development and financial inclusion.

9. Indian Overseas Bank (IOB)

  • Strong in South India and overseas markets.

  • Offers forex services and NRI accounts.

10. UCO Bank

  • Customer-friendly services.

  • Focused on small businesses and rural lending.

Other Noteworthy Banks

  • Bank of Maharashtra – Regional bank with growing national reach.

  • Punjab & Sind Bank – Trusted in northern India for personal banking.

Which Is the Best Government Bank in India?

If you want the best government bank overall, State Bank of India (SBI) is the top choice due to its size, trust, and technology. For personal loans and savings, Canara Bank and Indian Bank are great options. If you are a business owner, PNB and Bank of Baroda offer solid corporate banking services.

Conclusion

This updated list of government banks in India 2025 features the most trusted and customer-friendly institutions. Whether you need a savings account, a home loan, or business banking, each government bank on this list offers secure and reliable services.