Bhubaneswar: The Union government has released Rs 444.38 crore to strengthen rural local bodies in Odisha as part of the 15th Finance Commission grants for the financial year 2025–26, according to a statement issued by the Ministry of Panchayati Raj on Monday.
The release includes the second instalment of Untied Grants, amounting to Rs 342.5964 crore, for 20 eligible District Panchayats (Zilla Parishads), 296 eligible Block Panchayats (Panchayat Samitis), and 6,734 eligible Gram Panchayats in the state, the statement said.
Additionally, Rs 101.7815 crore, representing the withheld portion of the first instalment of Untied Grants for FY 2025–26, has been released to 20 eligible Zilla Parishads, 233 eligible Panchayat Samitis, and 649 eligible Gram Panchayats.
The Central government, through the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation), recommends the release of Fifteenth Finance Commission Grants to states for Panchayati Raj Institutions and rural local bodies. The Ministry of Finance subsequently releases these grants in two instalments each financial year.
Untied Grants may be utilised by Panchayati Raj institutions and rural local bodies to meet location-specific needs under the 29 subjects listed in the Eleventh Schedule, excluding salaries and establishment costs. Tied grants can be used for basic services such as sanitation and the maintenance of ODF (open defecation-free) status, including management and treatment of household waste, human excreta, and faecal sludge. These grants can also be used for the supply of drinking water, rainwater harvesting, and water recycling.
Meanwhile, the Ministry of Panchayati Raj has launched initiatives such as SabhaSaar—an AI-powered tool for recording and summarising Gram Sabha proceedings—SVAMITVA for digital land mapping and property rights, and eGramSwaraj for integrated online planning, accounting, and monitoring. Additionally, Gram Manchitra has been rolled out for geo-spatial planning. These platforms not only enhance transparency and efficiency but also empower citizens to participate more actively in local governance.
