The Centre has allocated Rs 275.1253 crore to bolster Panchayati Raj Institutions (PRIs) and rural local bodies (RLBs) in Jharkhand as part of the 15th Finance Commission grants for FY 2025–26. This funding, released by the Ministry of Panchayati Raj, constitutes the second instalment of Untied Grants for FY 2024–25, benefiting 24 District Panchayats (DPs), 253 Block Panchayats (BPs), and 4,342 Gram Panchayats (GPs) in the state. The grants are intended for location-specific needs, excluding salaries and establishment costs.
The government follows a practice of recommending the release of XV-FC grants to states for rural local bodies, with the grants being disbursed in two instalments per financial year. The Untied Grants are earmarked for addressing specific needs, while the Tied Grants are designated for services like sanitation, maintenance of ODF status, drinking water supply, rainwater harvesting, and water recycling. Recently, the Centre also disbursed funds to strengthen rural local bodies in Goa, Meghalaya, Sikkim, and Uttarakhand for FY 2025-26.
In another development, the Union government has allocated over Rs 3,324 crore to enhance rural local bodies in Bihar, Uttar Pradesh, Haryana, Himachal Pradesh, and West Bengal under the 15th Finance Commission’s untied grants. Bihar received Rs 802.40 crore, Uttar Pradesh got Rs 1,559.40 crore, and West Bengal was allocated Rs 680.86 crore for various district panchayats, block panchayats, and gram panchayats. These funds aim to strengthen the grassroots governance structure in these states.
