Karnataka's Rural Local Bodies Receive First Installment Of XV-FC Grants For FY 2024-25

The Union Ministry of Panchayati Raj has announced the disbursement of the first installment of the 15th Finance Commission (XV-FC) grants to Karnataka's rural local bodies for the fiscal year 2024-25. This financial support will benefit 5,949 eligible gram panchayats across the state, marking a significant step toward strengthening rural self-governance.

The allocation process follows a collaborative approach, with the Ministries of Panchayati Raj and Jal Shakti making recommendations before the Ministry of Finance releases the funds. These grants, distributed in two annual installments, are specifically designed to support local development initiatives aligned with the 29 subjects outlined in the Constitution's 11th Schedule.

Importantly, these funds come with clear usage guidelines. While they cannot be utilized for administrative expenses like salaries, they are designated for crucial developmental projects. Priority areas include:

- Maintaining villages' "open defecation free" status

- Implementing household waste management systems

- Developing faecal sludge treatment facilities

- Enhancing drinking water accessibility

- Creating rainwater harvesting systems

- Establishing water recycling infrastructure

The initiative reflects the central government's dedication to empowering panchayati raj institutions through targeted financial support, enabling rural communities to address their specific development needs effectively.