What happened: MoPR released a Devolution Index and listed PRI empowerment initiatives
The Ministry of Panchayati Raj (MoPR) released “Status of Devolution to Panchayats in States - An Indicative Evidence-Based Ranking, 2024” in February 2025. MoPR’s stated objective was to assess how effectively States devolve powers to Panchayats and how local governments strengthen grassroots democracy, with attention to financial and administrative empowerment of Panchayati Raj Institutions (PRIs).
MoPR linked PRI empowerment with Finance Commission-linked releases, capacity building under Revamped Rashtriya Gram Swaraj Abhiyan (RGSA), and a digital governance ecosystem for Panchayats. MoPR highlighted tools such as eGramSwaraj, AuditOnline, SAMARTH Panchayat portal, and transparency tools including Meri Panchayat and Panchayat NIRNAY, besides training modules for OSR (own source revenue).
Background and constitutional position: Panchayat devolution depends on State legislation
MoPR stated that Panchayat is a Local Government and a State subject under the Seventh Schedule. MoPR also cited Article 243G, under which State Legislatures may devolve powers and responsibilities upon Panchayats at the appropriate level (subject to conditions specified by law). The devolution covers plans for economic development and social justice and implementation of entrusted schemes, including matters in the Eleventh Schedule.
MoPR stated that many Gram Panchayats face constraints in implementing local development works because of inadequate financial resources, shortage of manpower, and limited administrative powers.
Related current affairs
- Report: Status of Devolution to Panchayats in States—An Indicative Evidence-Based Ranking, 2024; Devolution Index up from 39.9% to 43.9% (2013-14 to 2021-22)
- 15th Finance Commission grants to Panchayati Raj institutions for FY 2021-26; status of devolution and eGramSwaraj/online fund transfers
- Revamped Rashtriya Gram Swaraj Abhiyan (RGSA): training, funds and GPDP uploads
- e-Panchayat Mission Mode Project under RGSA: digital platforms for PRIs (eGramSwaraj, AuditOnline, etc.)
- Centrally Sponsored Scheme: Revamped Rashtriya Gram Swaraj Abhiyan (RGSA) from 2022-23 to build capacity of Panchayati Raj Institutions
- eGramSwaraj portal and GPDP integration for PESA implementation in Fifth Schedule (Scheduled Tribe-dominated) areas
