The Union Government has released ₹15.20 crores for rural local bodies of Mizoram under the Fifteenth Finance Commission (XV-FC) grants. The release made during financial year 2025-26, pertains to the second instalment of untied grants for the financial year 2024-25. The funds will benefit all 808 eligible Village Councils of the State.

Government of India through Ministry of Panchayati Raj and Ministry of Jal Shakti (Department of Drinking Water and Sanitation) recommends release of XV-FC grants to States for Rural Local Bodies, which are then released by Ministry of Finance. The allocated grants are recommended and released in 2 installments in a financial year. The Untied Grants will be utilized by RLBs for location-specific felt needs, under the twenty-nine subjects enshrined in the Eleventh Schedule of the Constitution, except for salaries and other establishment costs. The Tied Grants can be used for the basic services of (a) sanitation and maintenance of ODF status, and this should include management and treatment of household waste, and human excreta and fecal sludge management in particular and (b) supply of drinking water, rainwater harvesting and water recycling.

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