SF Prep Notes

Centre releases first instalment of XV Finance Commission grants to rural local bodies of Rajasthan and Andhra Pradesh

On 12 October 2024, in India, the Union Government released the first instalment of XV Finance Commission grants for 2024-25 to rural local bodies: over ₹1,267 crore for Rajasthan and over ₹988 crore for Andhra Pradesh.

Summary

On 12 October 2024, in India, the Union Government released the first instalment of Fifteenth Finance Commission grants for 2024-25 to Rural Local Bodies: over ₹1,267 crore for Rajasthan (untied ₹507.1177 crore plus tied grants) and over ₹988 crore for Andhra Pradesh (untied ₹395.5091 crore, tied ₹593.2639 crore). Untied grants can be used across the 29 subjects in the Eleventh Schedule but not for salaries or establishment costs; tied grants are for sanitation, ODF maintenance and water management.

Key facts

Released
12 Oct 2024, first instalment 2024-25
Rajasthan
Over ₹1,267 crore
Andhra Pradesh
Over ₹988 crore
Untied grants
29 subjects, Eleventh Schedule; not for salaries
Tied grants
Sanitation, ODF status, water management

Practice MCQs 3 questions

Q1 Advanced

How much did Rajasthan receive as the first instalment of XV Finance Commission grants for rural local bodies for 2024-25, released on 12 October 2024?

Show answer

Correct answer: A — Over ₹1,267 crore

PIB (12 Oct 2024): over Rs.1267 crores for Rajasthan and over Rs.988 crores for Andhra Pradesh released as the first instalment.

Q2 Advanced

Untied XV Finance Commission grants to Panchayats can be used across how many subjects listed in the Eleventh Schedule?

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Correct answer: C — 29

PIB (12 Oct 2024): untied grants enable Panchayats to address local needs across 29 subjects under the Eleventh Schedule.

Q3 Advanced

Which of the following is NOT a permitted use of untied XV Finance Commission grants for rural local bodies?

Show answer

Correct answer: D — Salaries and establishment costs

PIB (12 Oct 2024): untied grants cover subjects from agriculture and rural housing to education and sanitation, but cannot be used for salaries or establishment costs.

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