The advisory emphasizes that people in queer relationships can freely nominate their partners to receive the account balance in the event of the account holder’s death. The Reserve Bank of India (RBI) further reinforced this stance by issuing a clarification to all commercial banks on August 21, 2024, directing them to comply with these inclusivity measures.

The RBI has been a pioneer in promoting LGBTQ+ inclusion within the banking sector. In 2015, the central bank instructed banks to include a “third gender” option in all forms and applications, enabling transgender individuals to open bank accounts and access financial services without discrimination. This directive paved the way for several banks to extend services to the transgender community. In 2022, for instance, ESAF Small Finance Bank launched the ‘Rainbow Savings Account,’ a scheme exclusively designed for the transgender community, offering features like higher savings rates and debit card offers.

Following the Supreme Court ruling, the government formed a six-member committee in April 2024, led by the Cabinet Secretary, to address various issues faced by the LGBTQ+ community. The committee’s mandate is to develop policies ensuring equal access to services, eliminating discrimination, and preventing violence or harassment against LGBTQ+ individuals.