PM Narendra Modi launches Rashtriya Gram Swaraj Abhiyan in Madhya Pradesh

On the occasion of the National Panchayati Raj Day, Prime Minister Narendra Modi on April 24, 2018 launched the Rashtriya Gram Swaraj Abhiyan Scheme to strengthen the panchayat system and tackle the gaps that hinder its success.

PM Modi launched the scheme during his visit to Madhya Pradesh to meet and address panchayat bodies as well as independent communities. He acknowledged the Sarpanches of villages which have achieved 100 percent smokeless kitchens, 100 percent vaccination under Mission Indradhanush, and 100 percent electrification under Saubhagya Scheme.

Earlier, this restructured centrally sponsored scheme of Rashtriya Gram Swaraj Abhiyan (RGSA) was approved by the Cabinet Committee on Economic Affairs (CCEA) on April 21, 2018. The scheme aims at making rural local bodies self-sustainable, financially stable and more efficient.

Development of tribal areas of Madhya Pradesh

During the launch of the scheme, PM Modi addressed a rally in Madhya Pradesh on ‘Adivasi Diwas’.

He unveiled a roadmap for development of tribal areas of Madhya Pradesh over the next five years.

Under the plan, Rs 2 lakh crore will be spent for the development of areas under the tribal panchayats.

Key Highlights of Rashtriya Gram Swaraj Abhiyan

Rashtriya Gram Swaraj Abhiyan scheme

• The restructured Rashtriya Gram Swaraj Abhiyan scheme will have both Central and State Component.

• The Central component includes national level activities such as ‘National Plan of Technical Assistance’, ‘Mission Mode project on e-Panchayat’, ‘Incentivisation of Panchayats’; while the State component includes ‘Capacity Building of Panchayati Raj Institutions (PRIs)’.

• The Central Component will be fully funded by the Union Government. However, for all states, centre and states will together provide the funds in the ratio of 60:40, except the North East and Hill States where Centre:State funding pattern will be 90:10.  

• For all Union Territories (UTs), the Central share will be 100 percent.

• The scheme will be implemented with the main aim of achieving the United Nations’ Sustainable Development Goals (SDGs) with main thrust on Panchayats identified under Mission Antyodaya and 115 Aspirational districts as identified by NITI Aayog.

• The State Governments will formulate the Annual Action Plans for seeking assistance from the Central Government.

• The scheme will be implemented in a demand driven mode.

• The final deadline for the RGSA will be March 31, 2030.

States and UTs covered

The Rashtriya Gram Swaraj Abhiyan scheme will be now extended to all the states, union territories (UTs) and in all the institutions of rural local government in non-Part IX areas, where Panchayats do not exist.

Expenditure to be incurred on Rashtriya Gram Swaraj Abhiyan

The scheme will be implemented during the period from April 1, 2018 to March 31, 2022 at the total cost of Rs 7255.50 crore. Of the total cost, the Central share will be Rs 4500 crore and the State share will be Rs 2755.50 crore.



Expenditure in 2018-19 (Crore)


Expenditure in 2019-20 (Crore)

Expenditure in 2020-21 (Crore)

Expenditure in 2021-22 (Crore)

Total Expenditure (Crore)


State share












Central share













• The scheme will help more than 2.55 lakh Panchayati Raj Institutions (PRIs) to develop e-governance capabilities for achieving the Sustainable Development Goals (SDGs) through inclusive local governance.

• The key taglines of SDGs are- leaving no one behind, reaching the farthest first and universal coverage and gender equality to be instilled in all capacity building interventions including trainings, training modules and materials.

• The scheme seeks for programmatic union of the Mission Antyodaya’s identified Gram Panchayats and 115 Aspirational districts identified by NITI Aayog.

• The scheme will encourage Gram Sabhas to work as effective institutions with social inclusion of citizens particularly the vulnerable groups.

• It will establish the institutional structure for capacity building of PRIs at the national, state and district level with adequate human resources and infrastructure.


The Union Finance Minister Arun Jailtey announced the launch of new restructured scheme of Rashtriya Gram Swaraj Abhiyan (RGSA) in his budget speech 2016-17 to strengthen the Panchayati Raj system across the nation.

Subsequently, a committee under the Chairmanship of the Vice Chairman of NITI Aayog was constituted to restructure the Rajiv Gandhi Panchayat Sashaktikaran Abhiyan (RGPSA) Scheme as Rashtriya Gram Swaraj Abhiyan Scheme.


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