Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY) Approved

#GS-2 #Governance & Social Justice #Local Government #Current Events #National #Indian Polity & Constitution #Panchayati Raj

Key takeaways

The Union Cabinet approved the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY) with an outlay of ₹7,395.55 crore for 2026-27 to 2030-31.
The scheme allocates a Central Share of ₹4,869.48 crore and a State Share of ₹2,526.07 crore to empower rural governance.
It aims to ensure efficient utilization of ₹4.35 lakh crore allocated under the 16th Finance Commission grants for local bodies.
The program directly impacts 32 lakh representatives across 2.55 lakh Panchayats, incorporating non-Part IX tribal areas and Sixth Schedule regions.
It implements digital tools like eGramSwaraj, AuditOnline, and an AI platform named PANCHAM available in 17 Indian languages.

The Union Cabinet approved the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY) under the leadership of the Prime Minister.
The scheme has an official financial outlay of ₹7,395.55 crore for five years between 2026-27 and 2030-31.

This program is a new Centrally Sponsored Scheme that aims to modernize local self-governance in rural areas across India.
It puts Gram Panchayats at the center of local planning, digital monitoring, administrative training, and transparent spending.
The Ministry of Panchayati Raj serves as the primary nodal ministry to run this initiative.
The main objective is to turn Gram Panchayats into strong, self-reliant, and responsible local institutions.
It connects local village needs with national goals while managing the proper use of ₹4.35 lakh crore in 16th Finance Commission grants.

The total budget of ₹7,395.55 crore includes a Central Share of ₹4,869.48 crore and a State Share of ₹2,526.07 crore.
This program directly supports about 32 lakh elected leaders, local staff, and village partners in 2.55 lakh Panchayats.
Its public outreach campaigns aim to inform at least 1 crore citizens during every single episode.
The initiative covers all States and UTs, including traditional local councils in Sixth Schedule and non-Part IX tribal regions.
It combines work from different central and state departments into the eGramSwaraj portal to create annual village plans.
The scheme requires 2.55 lakh online audit plans each year through AuditOnline to make spending fully transparent.
It introduces PANCHAM, an AI-based tool in 17 Indian languages, to help villagers understand government schemes.
It helps local Panchayats collect their own taxes and fees, making them financially independent institutions.