The Union Government has recently released Rs 2.13 billion as XV Finance Commission untied grants to strengthen rural local bodies in Assam. The amount represents the first instalment for 2025–26 and has been disbursed to 2,192 Gram Panchayats, 182 Block Panchayats and 27 Zilla Parishads across the State.

The release of grants is facilitated through the Ministry of Panchayati Raj and the Ministry of Jal Shakti, based on recommendations of the XV Finance Commission, with funds routed through the Ministry of Finance. The grants are provided in two instalments each financial year.

Untied grants may be utilised by Panchayati Raj Institutions for location-specific development needs under the 29 subjects of the Eleventh Schedule of the Constitution, excluding salaries and establishment expenses. Tied grants are earmarked for sanitation, solid and liquid waste management, maintenance of ODF status, and drinking water-related services including rainwater harvesting and water recycling.