New Delhi: The Union Government has released the second installment of Fifteenth Finance Commission (XV FC) grants for Rajasthan and Odisha for the financial year 2024–25, aiming to support rural local bodies and improve governance at the grassroots level.
Funds Allocation for Rajasthan
Rajasthan has received Rs 560.63 crore as the second installment of untied grants. Additionally, Rs 53.41 crore, previously withheld from the first installment, has been released. These funds will benefit 10,105 Gram Panchayats, 315 Block Panchayats, and 20 District Panchayats across the state.
Funds Allocation for Odisha
Odisha has been allocated Rs 370.20 crore as the second installment of untied grants, along with Rs 84.51 crore from the withheld first installment. The financial support will be distributed among 6,794 Gram Panchayats, 314 Block Panchayats, and 30 District Panchayats in the state.
Purpose of the Grants
Untied grants are designed to address region-specific development needs under the 29 subjects listed in the Eleventh Schedule of the Constitution. These funds exclude expenses related to salaries and establishment costs.
In contrast, tied grants focus on two primary areas:
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Sanitation and ODF Maintenance: Includes waste management, human excreta treatment, and maintaining Open Defecation Free (ODF) status.
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Water Supply Initiatives: Covers drinking water supply, rainwater harvesting, and water recycling projects.
Collaborative Grant Disbursement Process
The disbursement of these grants is a coordinated effort between the Ministry of Panchayati Raj and the Ministry of Jal Shakti, with recommendations submitted to the Ministry of Finance for final approval. The grants are released in two installments each financial year.