Has the Centre Released Over Rs 260 Crore for Kerala's Rural Local Bodies?

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Has the Centre Released Over Rs 260 Crore for Kerala's Rural Local Bodies?

Synopsis

In a significant move, the Centre has allocated over Rs 260 crore to support rural local bodies in Kerala for the financial year 2025-26. This funding aims to enhance local governance and address community-specific needs, marking a pivotal step in strengthening rural infrastructure and services.

Key Takeaways

  • Rs 260.20 crore allocated to rural local bodies in Kerala.
  • Funds released as part of the 15th Finance Commission grants.
  • First instalment of untied grants for community-specific needs.
  • Includes all 14 district panchayats, 152 block panchayats, and 9,414 gram panchayats.
  • Focus on improving local governance and infrastructure.

New Delhi, Dec 15 (NationPress) On Monday, the government announced that it has disbursed Rs 260.20 crore to rural local bodies in Kerala as part of the 15th Finance Commission grants for the financial year 2025-26.

This funding marks the first instalment of untied grants and is allocated to all 14 district panchayats, 152 block panchayats, and 9,414 gram panchayats throughout the state, according to an official statement.

These untied grants are designed for use by rural local bodies and Panchayati Raj Institutions (PRIs) to address location-specific needs across the 29 subjects outlined in the Eleventh Schedule of the Constitution, excluding salaries and other administrative costs.

In contrast, Tied Grants are specifically allocated for essential services related to sanitation maintenance and ensuring ODF (open defecation-free) status, which includes managing household waste, human excreta, and faecal sludge, as well as providing drinking water, rainwater harvesting, and water recycling.

Recently, the government also allocated Rs 717.17 crore to bolster rural local bodies in Maharashtra as part of the first instalment of untied grants for the financial year 2025-26. These funds were distributed among duly elected rural local bodies in the state, covering two district panchayats, 15 block panchayats, and 26,544 gram panchayats.

The government, through the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation), recommends the release of the 15th Finance Commission grants to states for Panchayati Raj Institutions, which are subsequently disbursed by the Ministry of Finance.

These grants are typically allocated and released in two instalments within a financial year.

Earlier in November, the Centre had released over Rs 223 crore for rural local bodies in Assam and an additional Rs 444.38 crore to strengthen panchayat institutions in Odisha as part of the 15th Finance Commission grants.

Point of View

I believe the Centre's decision to release substantial funds for rural local bodies in Kerala exemplifies a commitment to enhancing local governance and addressing community needs. This initiative not only strengthens the foundations of rural infrastructure but also empowers grassroots democracy, which is vital for the nation's progress.
NationPress
15/12/2025

Frequently Asked Questions

What is the purpose of untied grants?
Untied grants are allocated for rural local bodies to address specific community needs as per the 29 subjects in the Eleventh Schedule of the Constitution, excluding salaries and administrative costs.
How many gram panchayats are included in this funding?
The funding covers a total of 9,414 gram panchayats in Kerala.
Nation Press