Centre Disburses Over ₹1,789 Crores XV FC Grants to Rural Local Bodies in Five States
Centre Disburses Over ₹1,789 Crores XV FC Grants to Rural Local Bodies in Five States
The Union Government has released Fifteenth Finance Commission (XV-FC) Untied Grants for Panchayati Raj Institutions (PRIs)/Rural Local Bodies (RLBs) in the States of Chhattisgarh, Gujarat, Madhya Pradesh, Telangana and Maharashtra during FY 2025–26. This release covers allocations pertaining to different financial years and aims to further strengthen rural local governance.
In Chhattisgarh, the 2nd installment of Untied Grants amounting to ₹232.60 crores has been released for all eligible 33 District Panchayats (DPs), 146 Block Panchayats (BPs) and 11,693 Gram Panchayats (GPs). Additionally, ₹8.0238 crores of the withheld portion of the 1st installment have been released to 1 DP, 8 BPs and 350 GPs. Similarly, Gujarat has received ₹509.2177 crores as the 2nd installment covering 33 DPs, 247 BPs and 14,563 GPs, along with ₹14.64 lakhs of the withheld portion released to 2 additional GPs.
For Madhya Pradesh, ₹630.6454 crores have been released as the 1st installment of Untied Grants for 51 DPs, 296 BPs and 22,914 GPs along with ₹104.6556 crores of the withheld portion of the 1st and 2nd installments for FY 2023–24 to additionally eligible 21 DPs, 106 BPs and 834 GPs. In Telangana, ₹256.2101 crores have been released as the 2nd installment (for FY 2024–25) covering 12,702 GPs. While Maharashtra has received ₹151.1856 crores as the withheld portion of the 1st and 2nd installments for FY 2022–23, benefiting 12 DPs, 125 BPs and 324 GPs.
Government of India through Ministry of Panchayati Raj and Ministry of Jal Shakti (Department of Drinking Water and Sanitation) recommends release of XV-FC grants to States for Panchayati Raj Institutions/ Rural Local Bodies, which is then released by Ministry of Finance. The allocated grants are recommended and released in 2 installments in a financial year. The Untied Grants will be utilized by RLBs for location-specific felt needs, under the twenty-nine subjects enshrined in the Eleventh Schedule of the Constitution, except for salaries and other establishment costs.The Tied Grants can be used for the basic services of (a) sanitation and maintenance of ODF status, and this should include management and treatment of household waste, and human excreta and fecal sludge management in particular and (b) supply of drinking water, rainwater harvesting and water recycling.