New Delhi, March 17: The central government on Tuesday released more than ₹1,789 crore under the 15th Finance Commission Grants to strengthen rural local governance across five states — Chhattisgarh, Gujarat, Madhya Pradesh, Telangana, and Maharashtra.
The funds, released during FY 2025–26, include Untied Grants for Panchayati Raj Institutions (PRIs) and Rural Local Bodies to strengthen grassroots governance and support location-specific development needs.
According to the Ministry of Panchayati Raj, Chhattisgarh received ₹232.60 crore as the second installment for 33 District Panchayats, 146 Block Panchayats and 11,693 Gram Panchayats, along with ₹8.02 crore from withheld funds of the first installment.
Gujarat was allocated ₹509.21 crore as the second installment for 33 District Panchayats, 247 Block Panchayats and 14,563 Gram Panchayats, along with ₹14.64 lakh from withheld funds released to additional Gram Panchayats.
Madhya Pradesh received ₹630.64 crore as the first installment covering 51 District Panchayats, 296 Block Panchayats and 22,914 Gram Panchayats, along with ₹104.65 crore of previously withheld funds. Telangana received ₹256.21 crore as the second installment for FY 2024–25 covering 12,702 Gram Panchayats, while Maharashtra was allocated ₹151.18 crore from withheld portions of earlier installments benefiting multiple district, block and gram panchayats.
Untied grants can be used by rural local bodies for location-specific development needs, excluding salaries and administrative costs. Tied grants are earmarked for essential services such as sanitation, maintaining open defecation-free status, waste management, drinking water supply, rainwater harvesting, and water recycling.
