Ministry of Panchayati Raj

Making Panchayati Raj System more Effective

Posted On: 22 DEC 2021 3:52PM by PIB Delhi

The Panchayati Raj system of local self government was introduced by the 73rd Amendment of the Constitution of India. Part IX was inserted in the Constitution as a sequel to the 73rd Constitutional Amendment in 1993, bestowing the Constitutional mandatory status to the ‘Panchayats’. The Government has no proposal under consideration to bring about changes in the existing Panchayati Raj system.

Panchayat, being “Local Government”, is a State subject and part of State list of Seventh Schedule of Constitution of India. Mandate for setting up of Panchayats is provided by Article 243 in Part IX of the Constitution of India. Accordingly, the Panchayats are setup and operate through the respective State Panchayati Raj Acts. Currently, there is no proposal in the Ministry of Panchayati Raj (MoPR) to form any committee to review the functioning of Panchayati Raj Institutions (PRIs). To strengthen functioning of PRIs across the country, MoPR has launched eGramSwaraj (, a user friendly web-based portal, which aims to bring in better transparency in the decentralised planning, progress reporting, financial management, work-based accounting and details of assets created. Further, for ensuring timely audit of Panchayat accounts i.e. receipts and expenditures of Gram Panchayats, MoPR has rolled out an online application – AuditOnline ( This application not only facilitates the auditing of Panchayat accounts but also provides for maintaining of audit records. This application streamlines the process for audit inquiries, draft local audit reports, draft auditparas etc. and thus ensures proper maintenance of accounts by Panchayats to improve transparency and accountability.

This information was given by Union Minister of State for Panchayati Raj Shri Kapil Moreshwar Patil in a written reply in Rajya Sabha today.



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