Shimla: Former Himachal Pradesh Chief Minister and Leader of Opposition Jai Ram Thakur has expressed gratitude to Prime Minister Narendra Modi, the Union government and the Ministry of Panchayati Raj for allocating ₹3,744 crore to the state’s Panchayati Raj institutions under the 16th Finance Commission.
Thakur said the increased financial support would strengthen panchayats and accelerate development in rural areas. Himachal Pradesh has more than 3,650 gram panchayats, and the allocation translates into an average of more than ₹1 crore per panchayat, providing additional resources for development works, he said.
According to government data, Himachal Pradesh’s allocation for rural local bodies under the 15th Finance Commission was ₹2,102 crore for 2020-21 to 2025-26. The allocation under the 16th Finance Commission has increased to ₹3,744 crore for the coming five-year period, according to reports.
Thakur said the increase would help strengthen rural infrastructure and support development activities at the grassroots level. He urged the state government to ensure that the funds received from the Centre are utilised transparently and effectively so that the benefits reach rural communities.
The BJP leader also said the enhanced allocation reflects the Centre’s focus on strengthening Panchayati Raj institutions and promoting rural development.

