Strengthening rural local bodies in Rajasthan and Jharkhand is now a priority with the release of over Rs 723 crore in grants. The central government’s disbursement, facilitated by the 15th Finance Commission, aims to enhance the financial autonomy and operational capacity of these grassroots institutions. For the fiscal year 2025-26, Rajasthan is allocated Rs 303.04 crore as its first installment of untied grants, which will empower its 24 district, 339 block, and 3,857 gram panchayats. In addition, Rs 145.24 crore from previously held grants for FY 2024-25 has also been released. Jharkhand is receiving Rs 275.13 crore for its local bodies, encompassing 24 district, 253 block, and 4,342 gram panchayats. These untied grants offer significant flexibility, enabling local authorities to address immediate, location-specific developmental needs under constitutional guidelines, excluding salary and administrative costs. This significant financial support is expected to drive local development initiatives and improve public services. The process involves recommendations from the Ministry of Panchayati Raj and final disbursement by the Ministry of Finance, ensuring efficient utilization.
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