Functional and Financial Devolution on Panchayat Raj Institutions (PRIs)

The National Institute of Rural Development, Hyderabad at the instance of Eleventh Finance Commission, Government of India requested the Centre to study the Functional and Financial Devolution on PRIs in 1999. This involved an assessment of the projected gap between the revenues and expenses of the PRIs (all the 3 layers) with devolution of functions. This involved compilation of aggregate financial data at the State level supplemented with sample selection of 2 district panchayats, 4 taluka panchayats and 8 village panchayats