The 14th Finance Commission has recommended a the basic grant or Rs. 1663.95 crore for the GPs for the year 2015-20. The Grant released by the centre are to be distributed among GPs only without any share for other levels. The the basic grant will be distributed by using the formula prescribed by the State Finance Commission for the distribution of resources. In case the FFC formula is not available, then the share of each G.P. is to be distributed across the entities using 2011 population with a weight of 90% for population and a weight of 10% for the area.
The 14th FC has released 656.72 Cr. as Basic Grants for Rural Local Bodies during 2016-17 as per the recommendation of the 14th Finance Commission with the advice to ensure that grants are distributed as per the approved formula. Accordingly the 1st installment of the basic grant has been released to the Gram Panchayats as Grant in aid during the financial year 2016-17.
Budget for the year 2017-18 has released 75672.00 .
Budget for the year 2018-19 has released 87386.00.