Gujarat govt allocates ₹741.90 crore to rural local bodies under 15th Finance Commission

Gandhinagar: To accelerate development works in rural areas, the Gujarat government has allocated ₹741.90 crore to Panchayati Raj institutions under the second installment of the 15th Finance Commission, an official statement said.

Panchayat Minister Rushikesh Patel stated that this allocation will enable over 45,000 development works across rural areas in the state, including drinking water facilities, sanitation projects, and other essential infrastructure.

“This comprehensive allocation under the 15th Finance Commission aims to further strengthen rural infrastructure and improve the living standards of rural citizens,” said the Minister.

The funds have been distributed among the three tiers of Panchayati Raj institutions as per the prescribed ratio:

• Gram Panchayats: 70% of ₹519.33 crore

• Taluka Panchayats: 20% of ₹148.38 crore

• District Panchayats: 10% of ₹74.19 crore

The Minister emphasized that the state government is committed to the all-round development of rural areas and ensuring that citizens continue to receive essential services efficiently. He also highlighted that the funds will be utilized effectively by Panchayats to promote balanced rural development.

It is worth noting that in the past year, a total of ₹2,619 crore has been allocated for rural development under the 15th Finance Commission. This includes:

• First installment of Tied Grant: ₹829.50 crore

• Second installment of Tied Grant: ₹741.90 crore

• First installment of Untied Grant: ₹553 crore

• Second installment of Untied Grant: ₹494.60 crore

Officials said that this initiative will enhance financial empowerment at the rural level and provide further impetus to development projects across Gujarat. DeshGujarat