Blitz Bureau
NEW DELHI: In a significant step towards advancing data-driven fiscal decentralisation and strengthening grassroots governance, the Centre on June 9 released the report of the Committee on Datasets for State Finance Commissions prepared by the Ministry of Panchayati Raj.
While releasing the report, Chief Economic Advisor to the Government V. Anantha Nageswaran said that citizens experience governance through the availability of basic services such as drinking water, roads, street lighting and Anganwadi services, making empowered Panchayats central to effective governance.
He noted that fiscal decentralisation is ultimately about bringing governance close enough to people that it actually touches their lives, and that State Finance Commissions can only make sound recommendations when they have access to reliable, timely and granular data, adding that better data leads to better governance.
Nageswaran emphasised that the quality of decisions on resource allocation is directly determined by the quality of data and analysis available, and described the report as an important step towards strengthening the information architecture for local governance.
He also highlighted the report’s recommendation that the Comptroller and Auditor General undertake a performance audit of the implementation of the 73rd Constitutional Amendment across States to assess the extent of functional, financial and administrative devolution to Panchayati Raj Institutions, an initiative that will further reinforce accountability and deepen the gains of constitutional decentralisation.
Commending the Ministry of Panchayati Raj for preparing the report, he expressed confidence that its recommendations would contribute significantly to strengthening fiscal decentralisation,













