The Union government has released the 15th Finance Commission (XV FC) Grants for rural local bodies (RLBs) in Karnataka for the Financial Year 2024–25 with the first installment of Untied Grants amounting to Rs.448.29 crore.
These funds are for all 5,949 eligible gram panchayats of the state.
The Centre, through the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation), recommends the release of XV-FC Grants to states for rural local bodies which are then released by the Ministry of Finance. The allocated grants are recommended and released in two installments in a financial year.
The Untied Grants will be utilised by RLBs for location-specific felt needs, under the 29 subjects enshrined in the Eleventh Schedule of the Constitution, except for salaries and other establishment costs. The Tied Grants can be used for the basic services of (a) sanitation and maintenance of ODF status, and this should include management and treatment of household waste, and human excreta and fecal sludge management in particular, and (b) supply of drinking water, rainwater harvesting, and water recycling.
The Centre is taking steps to strengthen rural self-governance by providing 15th Finance Commission Grants to Panchayati Raj Institutions (PRIs) / Rural Local Bodies (RLBs). This funding helps in making local governing bodies more effective, responsible, and independent, leading to sustainable and lasting progress in rural areas. Following Prime Minister Narendra Modi’s vision of ‘Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas’, this initiative promotes growth that benefits all and encourages people’s participation. These local bodies are the key to India’s development and are helping build Viksit Bharat.