₹1.82 Lakh Crore in Unclaimed Wealth: Govt Launches Campaign — What are the Wider Implications for India’s Financial System?

However, banking experts have cautioned that tracing rightful claimants remains difficult, warning that the new campaign could trigger false claims, add pressure on understaffed public sector banks, and potentially lead to government control over unclaimed amounts.

“The money belongs to the people, and it must reach them,” she said, emphasising that both institutions and regulators have a duty to ensure the return of these funds.

Unclaimed Assets Across Financial Sectors
According to M. Nagaraju, Secretary, DFS, as of 31 August 2025, banks have transferred over ₹75,000 crore worth of unclaimed deposits to the Reserve Bank of India (RBI). In the insurance sector, about ₹14,000 crore in unpaid policy amounts remain with companies, while mutual funds account for ₹3,000 crore in unclaimed investments.

The largest share—nearly 50% of all unclaimed assets—lies in the equity segment, where 172 crore company shares and unpaid dividends worth ₹90,000 crore are yet to be claimed.

The regulatory framework assigns specific institutions to oversee each category: the RBI for unclaimed bank deposits, Securities and Exchange Board of India(SEBI) for mutual funds, Insurance Regulatory and Development Authority of India(IRDAI) for insurance, Pension Fund Regulatory and Development Authority(PFRDA) for pension funds, and Investor Education and Protection Fund(IEPF) for unclaimed shares and dividends.

Campaign to Simplify the Claim Process
From 2021 to 2024, banks across the country have transferred about ₹37,176 crore worth of unclaimed deposits to the RBI’s Depositor Education and Awareness (DEA) Fund. The fund is used to trace and return unclaimed amounts to depositors or their heirs while promoting financial awareness. The new campaign has been launched amidst the questions arising on the continuing challenge of dormant accounts and the efficiency of the DEA Fund in creating customer awareness.

Nagaraju said the government’s three-month campaign would focus on awareness, accessibility, and quick resolution. “Over the next three months, the campaign will focus on awareness—knowing which portal to visit and what documents to prepare. Accessibility will make the process simple and within reach,” he said.

Highlighting the campaign’s early success, he added, “Claims of ₹450 crore were returned to citizens in one month. Returning them is an act of fairness and dignity.”

Expert Flags Implementation Challenges and Risks of Misuse
Speaking to Kanal, Thomas Franco, banking and public policy expert and former General Secretary of AIBOC, explained that banks initially retained unclaimed deposits while maintaining records of the depositors to whom the money was owed. “Later, the RBI directed the banks to hand over these amounts to the RBI if deposits remained unclaimed even after 10 years of maturity,” he said. Franco expressed the belief that the government may be using these funds transferred to the DEA Fund to meet the expenses of the new Apki Poonji, Apka Adhikar campaign as well.

He further pointed out the practical challenges involved in tracing and returning such deposits. “Banks usually inform nominees or legal heirs through available contact details. The legal heirs are required to produce a certificate to claim the amount, and if multiple heirs exist, all must be present for documentation,” Franco said. However, he cautioned that many unclaimed deposits are cases where no such information exists or heirs cannot be traced. “I doubt if the new campaign would be of any help in such cases. This may lead to false claims and other complications,” he remarked, adding that the initiative could place an additional burden on public sector banks already facing acute staff shortages and heavy workloads. He also expressed concern that, over time, the government might direct the RBI to transfer unclaimed amounts to the government, citing the absence of claimants.

Future Implications
The Apki Poonji, Apka Adhikar campaign marks a significant move to reconnect citizens with their dormant assets and strengthen financial inclusion. Yet, with over ₹1.82 lakh crore at stake, the challenge lies in balancing transparency and efficiency while preventing misuse or misappropriation. As the campaign unfolds, its success or pitfalls will likely determine how India manages unclaimed wealth in the years ahead.