Government Launches Digital Push to Build Self-Reliant Panchayats

The newly launched SAMARTH Panchayat Portal provides a unified digital platform for managing the complete revenue collection process at the Gram Panchayat level.

The Government of India has launched three major initiatives to help Panchayati Raj Institutions become financially stronger, digitally connected and better equipped to deliver services at the grassroots. Union Minister for Panchayati Raj and Fisheries, Animal Husbandry and Dairying Rajiv Ranjan Singh (Lalan Singh) unveiled the Atmanirbhar Panchayat Programme, the SAMARTH Panchayat Portal, and the Model Own Source of Revenue (OSR) Rules at an event in New Delhi.

During the programme, the Ministry of Panchayati Raj also received the Gold Award at the National Awards for e-Governance (NAeG) 2026 for the Panchayat Advancement Index (PAI), recognising its efforts to promote data-driven governance and strengthen rural administration.

The minister said the new initiatives support the vision of Viksit Bharat @2047 by empowering Panchayats with sustainable revenue sources and modern digital tools that improve transparency, accountability and citizen services.

Atmanirbhar Panchayat Programme to create sustainable local revenue

The Atmanirbhar Panchayat Programme has been designed to help Gram Panchayats and Block Panchayats identify local assets and convert them into revenue-generating projects with technical guidance from the Ministry.

The programme will support the development of 350 projects over four years, beginning with 50 projects in the first year, followed by 100 projects annually during the next three years. Funding will be mobilised through public-private partnerships, Corporate Social Responsibility (CSR) contributions, convergence with government schemes and institutional financing from organisations such as NABARD and HUDCO.

Eligible Gram Panchayats must have a minimum annual own-source revenue of ₹50 lakh, while Block Panchayats must generate at least ₹1 crore, with relaxed eligibility criteria for special category states.

SAMARTH Portal digitises Panchayat revenue management

The newly launched SAMARTH Panchayat Portal provides a unified digital platform for managing the complete revenue collection process at the Gram Panchayat level. It enables taxpayer registration, demand generation, online payments, collections and real-time monitoring through a single technology-enabled system.

The platform has already been implemented in Chhattisgarh and Himachal Pradesh, where more than 51 lakh taxpayers have been registered. The system has generated tax demands worth ₹95 crore and collected over ₹27 crore so far. Several other states, including Maharashtra, Assam, Uttar Pradesh, Haryana, Mizoram and West Bengal, are currently being onboarded.

The portal aligns with the recommendations of the Sixteenth Finance Commission, which has encouraged stronger own-source revenue generation to improve the financial sustainability of local bodies.

Model rules and digital governance receive national recognition

To further strengthen Panchayat finances, the Ministry has also introduced Model OSR Rules that provide states and Union Territories with a framework for assessing, collecting and managing revenues from property taxes, user charges, fees and other local sources. While advisory in nature, the model rules are intended to promote greater transparency, consistency and efficiency in local revenue administration.

The launch comes shortly after four Panchayati Raj initiatives received recognition at the National Awards for e-Governance 2026, including three Gold Awards and one Silver Award. The honours reflect growing national recognition of digital innovation and data-driven governance in strengthening local self-government.

The Ministry believes these initiatives will help Panchayats become more financially self-reliant, improve service delivery and deepen participatory governance across rural India.