Centre releases Rs 446 cr for Andhra, Rs 1599 cr for UP under grants

The Central government on Tuesday announced the release of grants totaling Rs 2,045.29 crore for rural local bodies in Uttar Pradesh and Andhra Pradesh under the Fifteenth Finance Commission (XV FC) for the financial year 2024-25.

Uttar Pradesh received Rs 1,598.80 crore as the second installment of untied grants, aimed at empowering 75 District Panchayats, 826 Block Panchayats, and 57,691 Gram Panchayats across the state. Similarly, Andhra Pradesh was granted Rs 420.99 crore as the second installment, along with Rs 25.49 crore withheld from the first installment. This funding will support 13 District Panchayats, 650 Block Panchayats, and 13,097 Gram Panchayats in the State .

The Ministry of Panchayati Raj emphasized that these untied grants cater to diverse developmental needs, excluding salaries and establishment costs, while tied grants are earmarked for sanitation, water supply management, and maintaining Open Defecation Free (ODF) status. These grants, recommended by the Ministries of Panchayati Raj and Jal Shakti, are released biannually to address location-specific needs as outlined under the 29 subjects in the Eleventh Schedule of the Constitution. Highlighting the broader vision behind the initiative, the Ministry of Panchayati Raj stated that this financial empowerment of Panchayati Raj Institutions (PRIs) aligns with Prime Minister Narendra Modi's philosophy of "Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas".

The focus remains on fostering inclusive growth, improving rural governance, and achieving self-reliance at the grassroots level. With these grants, both States aim to bolster rural infrastructure, sanitation initiatives, water resource management, and other essential development projects critical to enhancing the quality of life in villages.