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( As on 09/10/2025 11:58)

Union Government Releases Rs 680.71 Crore Under XV Finance Commission to Strengthen PRIs in West Bengal

The Government of India has released Rs 680.71 crore as the first instalment of Untied (Basic) Grants under the Fifteenth Finance Commission (XV-FC) for Rural Local Bodies (RLBs) and Panchayati Raj Institutions (PRIs) in West Bengal for the financial year 2025–26. The release, made on October 6, 2025, covers 3,224 Gram Panchayats, 335 Block Panchayats, and 21 Zilla Parishads across the state.

In the previous (2024–25) and current financial years, a total of Rs 4,181.23 crore was recommended and released to West Bengal, comprising Rs 2,082.13 crore as Untied Grants and Rs 2,099.10 crore as Tied Grants, highlighting the central government’s commitment to strengthening grassroots governance and service delivery through Panchayati Raj Institutions.

The past releases to West Bengal include:

29.08.2024: Rs 702.04 crore, 1st instalment of Untied Grants (pro-rata basis for eligible RLBs)

09.09.2024: Rs 1,131.42 crore, 1st instalment of Tied Grants for sanitation and drinking water works

24.02.2025: Rs 699.38 crore, 2nd instalment of Untied Grants (including withheld portion of Rs 4.93 crore)

25.02.2025: Rs 967.68 crore, 2nd instalment of Tied Grants (including withheld portion of Rs 7.40 crore)

06.10.2025: Rs 680.71 crore, 1st instalment of Untied Grants for 2025–26 (pro-rata basis)

Untied Grants provide RLBs the flexibility to address location-specific development needs across the 29 subjects of the Eleventh Schedule of the Constitution, excluding salaries and establishment costs. These funds support initiatives such as road and footpath construction and maintenance, LED and solar street lighting, village playfields, environmental protection, income-generating activities, digital connectivity, and crematorium maintenance, based on local priorities identified through participatory planning.

Tied Grants are earmarked for essential services, including sanitation, maintenance of Open Defecation Free (ODF) status, drinking water supply, rainwater harvesting, water recycling, stormwater drainage, and waterlogging management.

This release underscores the government’s continued focus on empowering Panchayati Raj Institutions to drive decentralized, need-based development in West Bengal.