India's Parliament Approves Bill to Modernise Bank Records for the Digital Era

The Indian government has introduced the Bankers’ Books Evidence Bill, 2026, to replace the 135‑year‑old Bankers’ Books Evidence Act of 1891. Finance Minister Nirmala Sitharaman presented the legislation in the Lok Sabha on August 3, aiming to create a technology‑neutral framework that recognises physical, electronic, digital, virtual and cloud‑based banking records as admissible evidence in courts.

The bill establishes a two‑track certification system for physical and electronic records, allows digital signatures under the Information Technology Act, and defines limited “special cause” circumstances for courts to compel banks to produce records or witnesses. It also empowers the central government to extend the framework to other financial entities, aligning the law with India’s broader digital‑banking initiatives such as Digital India, UPI and the JAM Trinity.