Government Allocates ₹2,044 Crore for Rural Local Bodies in Uttar Pradesh and Andhra Pradesh
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New Delhi, Dec 24 (NationPress) The Union government has disbursed the second tranche of untied grants for rural local bodies in Uttar Pradesh and Andhra Pradesh for the fiscal year 2024-25 as per the guidelines of the Fifteenth Finance Commission (XV FC), as per the announcement made by the Finance Ministry on Tuesday.
A total of ₹1,598.80 crore has been allocated as untied grants for the rural local bodies in Uttar Pradesh. This financial support is designated for all eligible 75 District Panchayats, 826 Block Panchayats, and 57,691 Gram Panchayats across the state, according to the official statement.
Meanwhile, an amount of ₹420.9989 crore has been released as the second installment of Untied Grants for the Financial Year 2024-25, along with a withheld amount from the first installment of Untied Grants for the same fiscal year, totaling ₹25.4898 crore for Andhra Pradesh. These funds are allocated for 13,097 eligible Gram Panchayats, 650 Block Panchayats, and all 13 District Panchayats within the state, as stated.
The Union government, through the Panchayati Raj and Jal Shakti Ministries, is responsible for recommending the release of Fifteenth Finance Commission (XV FC) Grants to the states for rural local bodies, which are subsequently disbursed by the Ministry of Finance.
The allocated grants are issued in two installments within a fiscal year.
The Untied Grants are intended for utilization by Panchayati Raj Institutions and Rural Local Bodies to address local needs specific to their regions under the 29 subjects outlined in the Eleventh Schedule of the Constitution, excluding expenses for salaries and other operational costs.
The tied grants can be allocated towards fundamental services concerning sanitation and the maintenance of Open Defecation Free (ODF) status, which includes the management and treatment of household waste, as well as human excreta and fecal sludge management. These funds can also be used for drinking water supply, rainwater harvesting, and water recycling.
The Centre is directing the Fifteenth Finance Commission Grants straight to Panchayati Raj Institutions, thereby reshaping the framework of rural local governance. This tactical financial empowerment aims to enhance local administration, promote accountability, and encourage self-sufficiency at the village level.
In line with Prime Minister Narendra Modi's vision of 'Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas', this initiative is driving inclusive growth while strengthening democratic engagement at the grassroots level. These empowered local entities are evolving into vital catalysts for change, propelling India towards becoming Viksit Bharat – where each village plays a role in shaping its future and contributing to the nation’s growth.
