See Full Document Text
GOVERNMENTOF INDIA
MINISTRYOF PANCHAYATIRAJ
LOK SABHA
UNSTARREDQUESTION NO. 4126
ANSWEREDON 17.03.2026
RECOMMENDATIONOF15TH FINANCE COMMISSION
4126.SHRISACHITHANANTHAM R:
Will the Minister of PANCHAYATIRAJ be pleased to state:
(a) the details of recommendations of the 15th Finance Commission regarding grants to Rural
LocalBodiesandthe extent of theirimplementation;and
(b) whether there has been any delay in release of Central Finance Commission grants to States,
andif so, the reasons therefor, State-wise?
ANSWER
THE MINISTER OF PANCHAYATI RAJ
(SHRIRAJIVRANJAN SINGH ALIAS LALAN SINGH)
(a): The Fifteenth Finance Commission hasrecommended the allocation of Rs. 60,750crores for
FY 2020-21 [Interim period] and Rs.2,36,805 crore for the FY 2021-2026 to the Rural Local
Bodies(RLBs).
The criteria for fund allocation determined by the 15th Central FinanceCommission involve
inter-se distribution among the States, with a weightage of 90 percent assigned to the population
and 10 percent to the areas of the States. The inter-se distribution among all the tiers is done by
the State Governments on the basis of the accepted recommendations of the latest State Finance
Commission (SFC)andinconformitywiththe followingbands;
Range for Distribution GramPanchayats BlockPanchayats District Panchayats
Minimum 70% 10% 5%
Maximum 85% 25% 15%
States which have a two-tier system with only village and district panchayats, the allocation
isasbelow:
Range for Distribution GramPanchayats District Panchayats
Minimum 70% 15%
Maximum 85% 30%
1In the eventof SFCrecommendations not beingavailable, the inter-se distribution within the
tiers should be decided by the State Government within the bands indicated above. The intra-tier
distribution among the relevant entities across the State should be on the basis of population and
area inthe ratioof90:10orasperthe acceptedrecommendationof thelatest SFC.
The mandatory eligibility conditions as per the guidelines of the Ministry of Finance for the
release ofgrantsundertheFifteenthFinanceCommissionare enumeratedasunder:
i. RLBs shall be deemed tobe eligiblefor the grantsif theyare duly constitutedi.e.if duly
electedbodiesare inplace exceptfor States/Areas where PartIX ofthe Constitution does
not apply. In case, all the bodies are not duly constituted grants shall be released to the
Stateonanactualallocation/pro-rata basisfor dulyconstitutedonly.
ii. Uploading of Plans by the RLBs for FY under consideration, as the case may be in
eGramSwaraj failing which the grant is released on a pro-rata basis only to those RLBs
whichhave uploadedtheplansone-Gramswarajapplication.
iii. RLBs have to mandatorily onboard on eGramSwaraj – PFMS for XV FC
Grants’Transactions.
iv. AllRLBsmustcompleteauditofannualaccountsfortheyearbeforethepreviousyearon
AuditOnline failing which the grant is released on a pro-rata basis only to those RLBs
whichhave completedtheaudit onthe AuditOnlineapplication.
v. All RLBs must ensure that provisional accounts for the previous year are available on
eGramSwaraj portal, failing which the grant is released on a pro-rata basis only to those
RLBswhose annualaccountsareavailableone-Gramswarajapplication.
vi. Allstateswhichhavenotdoneso,mustconstitutetheStateFinanceCommission(SFC),
act upon their recommendations and lay the explanatory memorandum as to the action
taken thereonbefore the State legislature on or before March 2024. After March 2024, no
grants shall be released to State that has not complied with the Constitutional provisions
inrespect ofthe SFCandtheseconditions.
vii. Timely fund Disbursal: On receipt of the XV-FC recommendedgrants from the Union
Government the State Governments are required to transfer the same to the panchayats/
traditional bodies concernedwithin 10 working days. Any delay beyond10 working days
the State Government is required to release the grant with interest for the period of delay
as per the average effective rate of interest on market borrowings/State Development
Loansfor thepreviousyear.
The State-wise details of grants recommended and released in fulfillment of prescribed
eligibility conditions under the Fifteenth Finance Commission to Rural Local Bodies (RLBs)
during the award periodfrom FY2020-21 toFY2025-26 are givenat Annexure.
The Ministry of Panchayati Raj has implemented several measures to monitor the state-
wise distribution andutilizationof 15th FinanceCommission Grants. The Ministry of Panchayati
Raj launched the eGramSwaraj application in April, 2020 for monitoring of various aspects of
Panchayat functioning, such as planning, budgeting, accounting and audit. Further, an
2application ‘AuditOnline’ has been developed for online audits of Panchayat accounts and their
financialmanagement also inApril 2020.
During the current FY 2025–26, out of a total of 2,64,211 Gram Panchayats and
equivalent bodies across the country, 2,54,604 Gram Panchayats and equivalent (96.36%), have
uploaded their Gram Panchayat Development Plans (GPDPs) on eGramSwaraj and 2,42,871
Gram Panchayats andequivalent(91.92%) have transferred ₹38,491crore tovendorsthrough the
eGramSwaraj–PFMS interface. For FY 2024-25, over 2.58 lakh PRIs have closed their year
booksand1.63 lakhPRIshave PRIsgenerated theirAudit reports.
(b): The Ministry of Panchayati Raj (MoPR) and the Department of Drinking Water and
Sanitation (DDWS) are the nodal Ministries for recommending the release of Untied (Basic)
Grants and Tied Grants, respectively, to the Rural Local Bodies (RLBs) under the Fifteenth
FinanceCommission (15thFC).
As per the recommendations of the 15th FC, grants to RLBs are released to the States in
two instalments every year. Upon receipt of the Grant Transfer Certificate (GTC) from a State
for the last released instalment and fulfilment of the eligibility conditions prescribed in the
guidelines, MoPR recommends the release of the next instalment of Untied Grants to the
Ministry of Finance (MoF). Similarly, DDWS recommends the release of the respective
instalment of Tied Grants toMoF.
Accordingly, the timing of release may vary depending upon the receipt of the GTC for
the last instalment released and the fulfilment of the prescribed eligibility conditions by the
respective State. MoPR hasreleasedUntied Grants timelyuponfulfilment of these conditions.
*****
3Annexure
Annexure referredtoinpart (a)of the LokSabhaUnstarred Q.No.4126 nswered on17.03.2026
State-wise details of grants recommended and released under the 15th Finance Commission to
Rural LocalBodies(RLBs) during the award periodfrom FY2020-21 toFY2025-26
(Rs. incrores)
Sl. States 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 Total
No. Alloc Rele Alloc Rele Alloc Rele Alloc Rele Alloc Rele Alloc Rele Alloc Rele
ation ase ation ase ation ase ation ase ation ase ation ase ation ase
1 Andhra 2625. 2621939. 1912010. 1972031. 1992152. 2102099. 205 1285 1268
Pradesh 00 5.00 00 7.85 00 6.75 00 7.45 00 9.97 00 3.81 6.00 0.82
2 Arunach 231.0 231.170.0 170.177.0 35.4179.0 0.00189.0 0.00185.0 0.001131.436.4
al 0 00 0 00 0 0 0 0 0 00 0
Pradesh
3 Assam 1604. 1601186. 1181228. 1221241. 1241315. 1311283. 1287857.7857.
00 4.00 00 6.00 00 8.00 00 1.00 00 5.00 00 3.00 00 00
4 Bihar 5018. 5013709. 3703842. 3843884. 385 4114. 4104012. 280 2457 2333
00 8.00 00 9.00 00 2.00 00 5.33 00 9.01 00 6.31 9.00 9.65
5 Chhattis 1454. 1451075. 107 1114. 111 1125. 112 1192. 1181163. 802.7123.6755.
garh 00 4.00 00 5.00 00 4.00 00 5.00 00 5.25 00 06 00 32
6 Goa 75.00 75.055.00 55.057.00 48.458.00 36.162.00 0.0061.00 0.00368.0214.5
0 0 6 3 0 9
7 Gujarat 3195. 3192362. 2362446. 2442473. 2472619. 2612555. 178 1565 1487
00 5.00 00 2.00 00 6.00 00 3.00 00 9.00 00 2.04 0.00 7.04
8 Haryana 1264. 126935.0 935.968.0 967.979.0 953.1036. 1011011. 988.6193.6120.
00 4.00 0 00 0 30 0 59 00 2.51 00 14 00 54
9 Himacha 429.0 429.317.0 317.329.0 329.332.0 318.352.0 352.343.0 341.2102.2086.
l Pradesh 0 00 0 00 0 00 0 04 0 00 0 50 00 53
10 Jharkhan 1689. 1681249. 1241293. 1291307. 1301385. 962.1351. 0.008274.6500.
d 00 9.00 00 9.00 00 3.00 00 7.00 00 94 00 00 94
11 Karnatak 3217. 3212377. 2372463. 2092490. 2082637. 2132572. 0.00 1575 1190
a 00 7.00 00 5.50 00 3.55 00 6.59 00 3.25 00 6.00 5.89
12 Kerala 1628. 1621203. 1201246. 1241260. 1261334. 1331301. 650.7972.7321.
00 8.00 00 3.00 00 6.00 00 0.00 00 4.00 00 50 00 50
13 Madhya 3984. 3982944. 2943050. 3053083. 2923265. 3263185. 630. 1951 1679
Pradesh 00 4.00 00 4.00 00 0.00 00 3.89 00 2.75 00 65 1.00 5.29
14 Maharas 5827. 5824307. 4264461. 3694510. 3624776. 3164659. 250 2854 2309
htra 00 7.00 00 7.16 00 6.71 00 9.21 00 9.72 00 7.25 0.00 7.05
15 Manipur 177.0 177.131.0 65.5135.0 0.00137.0 0.00145.0 0.00142.0 0.00867.0242.5
0 00 0 0 0 0 0 0 0 0
16 Meghala 182.0 182.135.0 94.5140.0 0.00141.0 0.00149.0 0.00146.0 0.00893.0276.5
ya 0 00 0 0 0 0 0 0 0 0
417 Mizoram 93.00 93.069.00 69.071.00 71.072.00 72.076.00 76.074.00 37.0455.0418.0
0 0 0 0 0 0 0 0
18 Nagalan 125.0 125.92.00 92.096.00 48.097.00 0.00102.0 0.0099.00 0.00611.0265.0
d 0 00 0 0 0 0 0
19 Odisha 2258. 2251669. 1661728. 1721747. 1741851. 1851805. 171 1105 1096
00 8.00 00 9.00 00 8.00 00 6.91 00 1.00 00 2.98 8.00 5.89
20 Punjab 1388. 1381026. 1021062. 1061074. 105 1138. 112 1110. 555.6798.6217.
00 8.00 00 6.00 00 2.00 00 8.35 00 7.86 00 00 00 22
21 Rajastha 3862. 3862854. 2852957. 2952989. 2843166. 3163087. 757. 1891 1644
n 00 2.00 00 4.00 00 5.34 00 7.96 00 6.00 00 60 5.00 2.90
22 Sikkim 42.00 42.031.00 31.033.00 33.033.00 33.035.00 32.733.00 22.8207.0194.6
0 0 0 0 8 5 0 3
23 Tamil 3607. 3602666. 2662761. 2762791. 2792957. 2952884. 637. 1766 1541
Nadu 00 7.00 00 6.00 00 1.00 00 1.00 00 7.00 00 93 6.00 9.93
24 Telangan 1847. 1841365. 1361415. 1411430. 1431514. 640.1477. 0.009048.6697.
a 00 7.00 00 5.00 00 5.00 00 0.00 00 07 00 00 07
25 Tripura 191.0 191.141.0 141.147.0 147.148.0 148.157.0 156.153.0 153.937.0936.3
0 00 0 00 0 00 0 00 0 31 0 00 0 1
26 Uttar 9752. 9757208. 7207466. 7467547. 7547994. 7997797. 544 4776 4540
Pradesh 00 2.00 00 8.00 00 6.00 00 7.00 00 4.00 00 1.38 4.00 8.38
27 Uttarakh 574.0 574.425.0 418.440.0 439.445.0 444.471.0 470.458.0 89.42813.2435.
and 0 00 0 70 0 21 0 13 0 30 0 1 00 74
28 West 4412. 4413261. 3263378. 3373415. 3413617. 3473528. 340 2161 2134
Bengal 00 2.00 00 1.00 00 8.00 00 5.00 00 2.22 00 3.92 1.00 2.14
Total 60756075 44904472 46514486 47014473 49804550 48572665 2975 2672
0.00 0.00 1.00 6.22 3.00 9.71 8.00 9.57 0.00 8.95 3.00 6.3355.0050.78
5