Centre Releases Over Rs 15 bn as XV FC Grants to Rural Bodies
ECONOMY & POLICY

Centre Releases Over Rs 15 bn as XV FC Grants to Rural Bodies

The Union Government has released over Rs 15 bn in grants recommended by the Fifteenth Finance Commission (XV FC) to strengthen Panchayati Raj Institutions (PRIs) and Rural Local Bodies (RLBs) in six states. The funds comprise tied and untied grants disbursed in FY 2025–26.

Telangana received Rs 2.48 bn as the first instalment of untied grants for FY 2025–26, benefitting 12600 Gram Panchayats (GPs). Uttarakhand received Rs 913.1 mn as the second instalment and an additional Rs 18.4 mn of a withheld first instalment was released to a further 216 GPs. Mizoram is included among beneficiary states.

Rajasthan received Rs 3.16 bn as the second instalment of untied grants for FY 2025–26 for 33 District Panchayats (DPs), 352 Block Panchayats (BPs) and 3857 eligible GPs, together with Rs 125.7 mn of withheld first instalment amounts released to nine Zilla Panchayats and 13 BPs. Meghalaya received Rs 270 mn as the second instalment of untied grants for FY 2021–22 for three Autonomous District Councils and Rs 222 mn as the second instalment of tied grants for 816 Village Councils.

Maharashtra received withheld portions including Rs 1.09 bn released for the first and second instalments of tied grants in FY 2025–26, Rs 1.17 bn for a withheld portion of the first instalment of tied grants for FY 2024–25 and Rs 3.29 bn as the withheld portion of the second instalment of tied grants for FY 2024–25 covering additional DPs, BPs and thousands of GPs. It also received Rs 727.0 mn as the withheld portions of the first and second instalments of untied grants for FY 2025–26. The Ministry of Panchayati Raj and the Ministry of Jal Shakti recommended the releases to the Ministry of Finance and untied grants may be used by PRIs and RLBs under the Eleventh Schedule except for salaries and establishment costs while tied grants target sanitation and drinking water services.

The Union Government has released over Rs 15 bn in grants recommended by the Fifteenth Finance Commission (XV FC) to strengthen Panchayati Raj Institutions (PRIs) and Rural Local Bodies (RLBs) in six states. The funds comprise tied and untied grants disbursed in FY 2025–26. Telangana received Rs 2.48 bn as the first instalment of untied grants for FY 2025–26, benefitting 12600 Gram Panchayats (GPs). Uttarakhand received Rs 913.1 mn as the second instalment and an additional Rs 18.4 mn of a withheld first instalment was released to a further 216 GPs. Mizoram is included among beneficiary states. Rajasthan received Rs 3.16 bn as the second instalment of untied grants for FY 2025–26 for 33 District Panchayats (DPs), 352 Block Panchayats (BPs) and 3857 eligible GPs, together with Rs 125.7 mn of withheld first instalment amounts released to nine Zilla Panchayats and 13 BPs. Meghalaya received Rs 270 mn as the second instalment of untied grants for FY 2021–22 for three Autonomous District Councils and Rs 222 mn as the second instalment of tied grants for 816 Village Councils. Maharashtra received withheld portions including Rs 1.09 bn released for the first and second instalments of tied grants in FY 2025–26, Rs 1.17 bn for a withheld portion of the first instalment of tied grants for FY 2024–25 and Rs 3.29 bn as the withheld portion of the second instalment of tied grants for FY 2024–25 covering additional DPs, BPs and thousands of GPs. It also received Rs 727.0 mn as the withheld portions of the first and second instalments of untied grants for FY 2025–26. The Ministry of Panchayati Raj and the Ministry of Jal Shakti recommended the releases to the Ministry of Finance and untied grants may be used by PRIs and RLBs under the Eleventh Schedule except for salaries and establishment costs while tied grants target sanitation and drinking water services.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Sabarmati Riverfront Two Plots Up for Auction at Rs2.24 bn Base Price

Two commercial plots on the western bank of the Sabarmati Riverfront will be auctioned with a base price of Rs 112 crore each, equivalent to Rs 1.12 bn apiece and Rs 2.24 billion in total. The parcels are located adjacent to the Metro Rail Bridge in Ahmedabad and form the first commercial offering after a prolonged pause. The Riverfront Development Corporation has framed the sale as part of a phased commercial release to revive development along the riverfront. The combined base valuation has been set by the corporation to reflect market rates along the riverfront. The corporation has fixed a ..

Next Story
Infrastructure Urban

Andhra Pradesh to Connect Over One Million Streetlights

Andhra Pradesh will undertake a statewide smart streetlighting programme across all 123 Urban Local Bodies (ULBs), bringing around 1.05 million (mn) streetlights under an AI enabled monitoring and management system. The programme will be implemented by Energy Efficiency Services Limited (EESL) with the Commissioner and Director of Municipal Administration under the state Municipal Administration and Urban Development Department. The project aims to convert conventional streetlighting into a digitally managed municipal service monitored and maintained remotely. The initial phase will cover abou..

Next Story
Infrastructure Urban

AMC To Procure Four Machines For Guard Rail Cleaning

Ahmedabad Municipal Corporation will introduce four specialised machines for cleaning guard railings along major roads and the central verges of BRTS and Metro corridors. The civic body plans to replace manual labour with mechanised cleaning to improve maintenance of road infrastructure and greenery. The purchase is estimated at Rs 82.8 million (mn), excluding GST. The proposal sets the base price of each machine at about Rs 20.7 million (mn) so four units total Rs 82.8 million (mn) before GST. 18 per cent GST will be applicable separately. During the warranty period each machine will operate ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement