City
Epaper

Ministry of Finance grants Rs 12,351 cr to rural local bodies

By ANI | Published: January 27, 2021 3:04 PM

The Department of Expenditure, Ministry of Finance on Wednesday released an amount of Rs 12,351.5 crore to 18 States for providing grants to the rural local bodies (RLBs).

Open in App

The Department of Expenditure, Ministry of Finance on Wednesday released an amount of Rs 12,351.5 crore to 18 States for providing grants to the rural local bodies (RLBs).

A press release by the Union Ministry of Finance stated, "This amount is the 2nd instalment of basic grants released in the financial year 2020-21."

The grant has been released to 18 States who have provided the utilisation certificate for the first instalment and on the recommendation of the Ministry of Panchayati Raj.

The grants to RLBs are released as per the recommendations of the 15th Finance Commission to create community assets and improve the financial viability of the RLBs. The grants are provided to all the three tiers of Panchayati Raj - Village, Block and District to enable pooling of resources across villages and blocks.

The 15th Finance Commission has recommended two types of grants to the RLBs - basic and tied grants. Basic grants are untied and can be used by the local bodies for location-specific felt needs except for salary or other establishment expenditure. The tied grants can be used for the basic services of station and maintenance of Open Defecation Free (ODF) status and supply of drinking water, rainwater harvesting and water recycling.

The grants are meant to ensure additional funds to RLBs over and above the funds allocated by the Centre and the State for station and drinking water under the centrally sponsored schemes like Swachh Bharat and Jal Jeevan Mission.

The States are required to transfer the grants to the RLBs within 10 working days of receipt from the Union government. Any delay beyond 10 working days requires the State Governments to release the grants with interest.

Earlier, the first instalment of basic grants to RLBs and arrears of 14th Finance Commission amounting to Rs 18,199 crore were released to all the States in June 2020. Subsequently, the 1st instalment of tied grants amounting to Rs 15,187.50 crore was also released to all the States. Thus, a total amount of Rs.45,738 crore of both basic and tied grants has been released so far by the Department of Expenditure to the States for RLBs.

( With inputs from ANI )

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Tags: Ministry of Finance of UkraineJal jeevan missionMinistry Of FinanceIsraeli finance ministry
Open in App

Related Stories

BusinessGST Revenue Collection for April 2024 Highest Ever at Rs 2.10 Lakh Crore

BusinessMonsoon fury: Centre releases Rs 7,532 cr for States' disaster response

NationalContract worker of Finance Ministry arrested in Espionage case from Ghaziabad

PoliticsDirect tax collections rise 15% to Rs 5.17 lakh crore in 2023-24

NationalJal Jeevan Mission to provide smart classrooms in U.P

National Realted Stories

NationalEveryone wants votes but no one wants to campaign in red light areas of UP

NationalSC defers hearing on ex-TN minister Senthil Balaji's bail plea till May 15

NationalBhopal Fire: Massive Blaze Erupts at Carbide Factory Campus (Watch Video)

National‘Ramdroh’, ‘Rashtradhroh’ are part of Congress, INDIA bloc’s DNA: Yogi Adityanath

NationalFamilies of Lalu Prasad, Shibu Soren looted the country: Samrat Choudhary