
BENGALURU: Karnataka is at the top in the devolution index ranking after a 2023-24 study by the Indian Institute of Public Administration (IIPA) found that Panchayats in the state demonstrated exemplary financial management practices and accountability, besides working fairly and efficiently.
The IIPA’s report, ‘Status of Devolution to Panchayats in States — An Indicative Evidence Based Ranking’, was released by Union Minister of State in the Ministry of Panchayati Raj Prof SP Singh Baghel, in New Delhi on Thursday. States/Union Territories were ranked according to the overall Panchayat devolution index and six dimensions: Framework; Functions; Finances; Functionaries; Capacity Enhancement and Accountability. Karnataka topped the chart in the Devolution Index, as well as in the key sub-indices of ‘Finances’ and ‘Accountability’.
The report states that the overall analysis of indicators demonstrates the state’s commendable performance across nearly all identified metrics. According to the report, Karnataka delegates a significant number of functions to Panchayats while assigning them substantial roles in vertical schemes designed by the Centre.
As per the report, the state is among the front-runners in releasing and utilizing the grants-in-aid of the 15th Finance Commission in time. On account of the State Finance Commission recommendations, the money is released to Panchayats in a timely manner. Panchayats enjoy maximum power to levy taxes and non-taxes, the report stated.
The report states Karnataka topped in the ‘Accountability’ dimension and the highest score in the indicator of ‘Social Audit’ and ‘Gram Sabha’. Under the ‘Functionaries’ dimension, the state has one of the maximum number of Panchayat officials working as per sanctioned positions prescribed by the state.
Karnataka among top ten states in ‘capacity building’
In the ‘Capacity Building’ dimension, the state comes in the top ten States. “The Gram Panchayat system in Karnataka serves as a vital institution for promoting local self-governance, participatory democracy, and sustainable development in rural areas,” the report states.
Union minister Singh said the Panchayat Devolution Index is crucial for holistic, inclusive, and sustainable development. “It not only motivates states that have performed well, but also encourages state governments to create an environment that empowers rural local bodies,” he said.
In the rankings, Kerala and Tamil Nadu bagged second and third place, respectively.
IIPA’s assessment not only celebrates the achievements of high-performing states but also provides a road map for others to enhance their rural governance frameworks. The spirit of competitive and cooperative federalism evident in these results promises an even brighter future for India’s grassroots governance and rural development journey.