Agartala/Aizawl, 26 August: The Union government has disbursed over ₹44 crore to the northeastern states of Tripura and Mizoram under the Fifteenth Finance Commission (XV-FC) Untied Grants for Rural Local Bodies (RLBs), aimed at strengthening local governance and addressing specific developmental needs.
According to official reports, Tripura received ₹29.75 crore as the first instalment for the financial year 2025–26. This allocation will benefit 606 Gram Panchayats, 35 Block Panchayats, 8 Zilla Parishads, 587 Village Committees, and 40 Block Advisory Committees across the state.
Meanwhile, Mizoram has been granted ₹14.28 crore, covering 827 eligible Village Councils, as part of the 2023–24 grant tranche.
Empowering Local Institutions
The grants, released by the Union Ministry of Panchayati Raj in coordination with the Ministry of Jal Shakti, are untied in nature, meaning they can be used flexibly by local bodies for location-specific “felt needs”. These must, however, fall within the 29 subjects listed in the Eleventh Schedule of the Constitution, which includes areas such as agriculture, health, education, and local infrastructure. The funds cannot be used for salaries or administrative expenses.
“These grants are released in two instalments during a financial year to support the decentralised governance framework,” stated an official release.
Focus on Grassroots Development
Unlike Tied Grants, which are earmarked for essential services like sanitation, solid waste management, and water supply, Untied Grants offer greater autonomy to local bodies in prioritising and executing development projects based on community needs.
Officials in both states welcomed the allocations, noting that the funds will help address pressing rural challenges and improve basic infrastructure. Experts also stressed the importance of transparency and effective utilisation to ensure maximum impact on the ground.
With rural areas in Tripura and Mizoram still grappling with infrastructure gaps, this financial support is expected to play a crucial role in bridging development disparities and strengthening the panchayati raj system in the region.