Centre Releases Rs 256.60 Crore in XV Finance Commission Grants to Assam Panchayati Raj Bodies

The Union Government has released the second installment of XV Finance Commission (XV FC) grants for Panchayati Raj Institutions and Rural Local Bodies in Assam for the financial year 2025-26, amounting to Rs 256.60 crore in untied grants.

The funds have been released through the Ministry of Finance, on the recommendation of the Ministry of Panchayati Raj and the Ministry of Jal Shakti's Department of Drinking Water and Sanitation.

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The grants cover all eligible Panchayati Raj and rural local body tiers across Assam — 27 district panchayats, 182 block panchayats, and 2,192 gram panchayats.

The three Autonomous District Councils — the Bodoland Territorial Council (BTC), the Karbi Anglong Autonomous Council (KAAC), and the Dima Hasao Autonomous Council (DHAC) — are also included in the release.

In addition, Rs 42.70 crore of a withheld portion from the first installment of untied grants for FY 2025-26 has also been released to the same three eligible ADCs — BTC, KAAC, and DHAC.

The untied grants give panchayats flexibility to address location-specific local needs across the 29 subjects listed under the Eleventh Schedule of the Constitution, with the exception of salaries and establishment costs.

Tied grants, on the other hand, are earmarked for two specific purposes — sanitation and maintenance of Open Defecation Free (ODF) status, including household waste management, human excreta treatment, and fecal sludge management; and the supply of drinking water, rainwater harvesting, and water recycling.

XV FC grants are typically released in two installments per financial year, with this being the second and final installment for 2025-26.