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Corporate

Panchayats need to intensify efforts to augment revenue resources: RBI report

Indian-GRAPEVINE-panchayats-need-to-intensify-efforts-to-augment-revenue-resources-rbi-report

Published 05 Feb, 2024

By Staff Reporter


Panchayats need to intensify efforts to augment their own tax and non-tax revenue resources as well as improve their governance, a RBI report said on Wednesday.

Finances of Panchayati Raj Institutions (PRIs) face constraints as they have limited own revenues from property taxes, fees and fines.

Nearly all of their revenues are generated through grants from higher levels of government, underscoring their heavy reliance on the central and state governments, as per the report on 'Finances of Panchayati Raj Institutions' by the Reserve Bank of India (RBI).



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