Centre Releases ₹18.61 Crore in Finance Commission Grants for Goa’s Panchayats

The funds are part of the Centre’s broader strategy to empower local self-governments and enhance service delivery at the grassroots level.

In a continued push to strengthen grassroots governance and rural infrastructure, the Union Government has released ₹18.61 crore under the 15th Finance Commission (XV-FC) grants for Panchayati Raj Institutions (PRIs) and Rural Local Bodies (RLBs) in Goa.

The latest disbursement includes the second instalment of Tied Grants for FY 2023–24 amounting to ₹15.77 crore, benefiting all eligible 2 District Panchayats (DPs) and 170 Gram Panchayats (GPs) across the state.

Additionally, the Centre has released ₹2.84 crore—a previously withheld portion of the first instalment of Tied Grants—to 2 District Panchayats and 3 Gram Panchayats that have now become eligible.

Strengthening Rural Governance and Service Delivery

The funds are part of the Centre’s broader strategy to empower local self-governments and enhance service delivery at the grassroots level. The grants are recommended jointly by:

• Ministry of Panchayati Raj

• Ministry of Jal Shakti (Department of Drinking Water and Sanitation)

and are released by the Ministry of Finance in two instalments annually.

Focus on Water and Sanitation Infrastructure

The Tied Grants released to Goa are earmarked for critical basic services, including:

• Sanitation and maintaining Open Defecation Free (ODF) status

• Solid and liquid waste management, including faecal sludge treatment

• Drinking water supply systems

• Rainwater harvesting and water recycling initiatives

These allocations are designed to ensure sustainable rural development while improving public health outcomes.

Untied Grants to Address Local Needs

Alongside tied funds, PRIs also receive Untied Grants, which provide flexibility to address location-specific needs across the 29 subjects listed in the Eleventh Schedule of the Constitution—such as rural housing, roads, health, and agriculture.

However, these funds cannot be used for salaries or administrative expenses, ensuring that resources are directed toward development activities.

Boost to Decentralised Planning

Officials note that Finance Commission grants play a crucial role in:

• Enhancing fiscal autonomy of Panchayats

• Promoting decentralised planning and governance

• Improving accountability and local-level implementation

With timely release of funds, the Centre aims to accelerate rural infrastructure development and ensure that basic civic services reach every village efficiently.

Driving Inclusive Rural Development

The latest grant release underscores the government’s commitment to strengthening Panchayati Raj institutions as engines of inclusive growth, particularly in smaller states like Goa where local bodies play a vital role in last-mile service delivery.