Centre approves release of Rs.259.36 crore 15th Finance Commission funds to Telangana

After a gap of two financial years, the Central government has approved the release of Rs.259.36 crore under the 15th Finance Commission to gram panchayats in Telangana following the completion of Gram Panchayat elections, officials said.

Hyderabad: After a gap of two financial years, the Central government has approved the release of Rs.259.36 crore under the 15th Finance Commission to gram panchayats in the State.

The term of sarpanches concluded soon after the Congress government came to power in the State. Since then, the conduct of panchayat elections has been delayed.

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As a result, the 15th Finance Commission funds for the 2024-25 and 2025-26 financial years were due to Telangana. Apart from this, the issue of extending 42 percent reservations to BCs and other factors were also cited as reasons for the delay in conducting the elections.

Considering these aspects, the Central government stated that it would release the pending funds only after the completion of Gram Panchayat elections.

However, Panchayat and Rural Development Minister D Anasuya made several appeals to the Central government for the release of the funds. She also personally met a few Union Ministers, including Rajiv Ranjan Singh, Shivraj Singh Chouhan and others, in New Delhi.

There was a risk of the funds being permanently cancelled if they were not released before March 31 this year. After the Gram Panchayat elections were completed, Minister Seethakka again wrote to the Central government, requesting the immediate release of the pending funds.

According to the 15th Finance Commission recommendations, the State is entitled to receive nearly Rs.3,000 crore. Of this, Rs.259.36 crore has been approved for release as the first instalment, she said in a statement.

The Minister said the funds would help improve infrastructure in villages and speed up development works. She urged the Central government to release the remaining funds without further delay.