New Delhi, October 28 : The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the implementation of the ‘Pradhan Mantri Viksit Gram Swaraj Yojana’ (PM VGSY) for the period from 2026-27 to 2030-31. This Centrally Sponsored Scheme (CSS) aims to transform Gram Panchayats into hubs for local development and good governance. Aligned with the vision of a ‘Viksit Bharat’ (Developed India), the scheme has an outlay of ₹7,395.55 crore, with the Central share amounting to ₹4,869.48 crore and the States’ share to ₹2,526.07 crore.
In an official statement, the Cabinet noted that the scheme will directly benefit over 2.55 lakh Gram Panchayats across the country, along with approximately 32 lakh elected representatives, Panchayat staff, and other stakeholders associated with traditional local bodies. Furthermore, through awareness programs, the initiative aims to reach at least 1 crore citizens.
The primary objective of the Pradhan Mantri Viksit Gram Swaraj Yojana is to strengthen Gram Panchayats and make them self-reliant. Under this, approximately 2.55 lakh ‘Gram Panchayat Development Plans’ (GPDPs) will be prepared annually on the ‘eGramSwaraj’ portal. These plans will integrate the specific needs of villages, existing Central and State government schemes, and available resources to foster a participatory development model.
The government stated that this initiative will directly link the national vision of a ‘Viksit Bharat’ with the needs and aspirations of rural communities. Panchayats will evolve beyond mere administrative units to become the true engines of local development.
Under this scheme, the ‘eGramSwaraj’ and other e-Panchayat systems will be further strengthened. A unified digital platform will provide access to information regarding government schemes, beneficiaries, community assets, and available resources. This will assist panchayats in identifying gaps in development, understanding local needs, and monitoring schemes.
The statement mentions that the government will utilize an AI-enabled, multilingual communication platform called ‘Pancham’ to disseminate information about schemes to panchayats and citizens. Operating in 17 Indian languages, the platform will provide details on government schemes and national initiatives in simple, accessible language.
Under the scheme, approximately 3.2 million (32 lakh) public representatives and panchayat officials will receive training and digital support annually. They will be equipped to formulate development plans, manage resources, engage with citizens, and achieve local Sustainable Development Goals (SDGs).
Furthermore, 255,000 (2.55 lakh) online audit plans will be prepared each year, with timely audits ensured through the ‘AuditOnline’ system. The government anticipates that this will enhance financial transparency and enable panchayats to become more accountable and self-reliant.
The ‘Pradhan Mantri Viksit Gram Swaraj Yojana’ will be implemented across all states and union territories in the country. This includes regions where the panchayat system—as defined under Part IX of the Constitution—is not in effect, and where traditional local governance bodies operate instead.
While no permanent positions will be created under the scheme, contractual personnel may be engaged at the state, district, and block levels as needed to provide technical support and ensure the effective implementation of the scheme.