Centre releases grants worth Rs 620 crore for rural local bodies in Maharashtra

The amount released entails second installment of Untied Grants amounting to Rs 611.6913 crore and withheld portion of 1st installment of Untied Grants amounting to Rs 8.4282 crore.

These funds are for the four eligible District Panchayats, 40 eligible Block Panchayats and 21,551 eligible Gram Panchayats of the state, said the Ministry of Panchayati Raj in a statement.

The Untied Grants will be utilised by Panchayati Raj Institutions/rural local bodies for location-specific felt needs, except for salaries and other establishment costs.

The Tied Grants can be used for the basic services of sanitation and maintenance of the Open Defecation Free (ODF) status, supply of drinking water, rainwater harvesting and water recycling.

The government, through Ministry of Panchayati Raj and Ministry of Jal Shakti, recommends release of Fifteenth Finance Commission (XV FC) Grants to states for rural local bodies which is then released by the Ministry of Finance.

The allocated Grants are recommended and released in two installments in a financial year.

Earlier this month, the government released grants worth Rs 699 crore for rural local bodies in West Bengal under the 15th Finance Commission.

This was the second installment of Untied Grants amounting to Rs 694.4446 crore and withheld portion of 1st installment of Untied Grants amounting to Rs 4.9323 crore, according to the Ministry of Panchayati Raj.

These funds are for the 21 eligible District Panchayats, 326 eligible Block Panchayats and 3,220 eligible Gram Panchayats in the state.

This financial support helps in improving rural local governance, enhancing accountability, and promoting self-reliance in villages in India.

Earlier, the Centre released grants to the tune of Rs 1,086.06 crore for the rural local bodies of Bihar, Haryana and Sikkim for financial year 2024–25.

—IANS