Finance Commission grants UP Rs 1599 cr while Andhra gets Rs 446 cr for rural development

New Delhi: The central government on Tuesday released funds under the Fifteenth Finance Commission (XV FC) grants for rural local bodies in Uttar Pradesh and Andhra Pradesh for the financial year 2024-25.
The grants include Rs 1,598.80 crore for Uttar Pradesh and Rs 446.49 crore for Andhra Pradesh, marking a significant step in strengthening grassroots governance and rural development.
The Ministry of Panchayati Raj stated that Uttar Pradesh received the second installment of untied grants totaling Rs 1,598.80 crore.
It said "These funds are for all eligible 75 District Panchayats, all eligible 826 Block Panchayats and all eligible 57691 Gram Panchayats of the state".
Similarly, Andhra Pradesh was allocated the second installment of untied grants amounting to Rs 420.99 crore, along with a withheld amount of Rs 25.49 crore from the first installment for the financial year.
The ministry stated that in Andhra Pradesh "These funds are for eligible 13097 duly elected Gram Panchayats, 650 duly elected Block Panchayats and all 13 eligible District Panchayats of the State".
The grants, recommended by the Ministry of Panchayati Raj and the Ministry of Jal Shakti, are released in two installments annually. They are aimed at addressing location-specific needs under the 29 subjects outlined in the Eleventh Schedule of the Constitution.
While untied grants cater to various developmental requirements except for salaries and establishment costs, tied grants are specifically allocated for sanitation, maintenance of Open Defecation Free (ODF) status, and water supply management, including rainwater harvesting and water recycling.
This direct financial empowerment of Panchayati Raj Institutions (PRIs) is transforming rural local governance.
The ministry also noted that initiative aligns with Prime Minister Narendra Modi's vision of "Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas," fostering inclusive growth and self-reliance at the village level.
The funds are expected to enhance accountability, improve basic services, and promote participatory democracy, driving India closer to the goal of becoming a "Viksit Bharat" where every village actively contributes to the nation's prosperity.