Babu, M. Devendra

Financial relations between state and local governments: A study of Karnataka state - 2004 - p.762-776. - Jul-Sep

The 73rd and 74th Amendments effected to the Indian Constitution in 1992 accord statutory recognition to the third tier government. The states are required to devolve revenue and expenditure powers to local governments (rural and urban). Articles 243(H) and 243(I) specifically draw the attention of states in sharing and devolving resources with local governments. Similarly, the 11th and 12th Schedule of the Constitution suggested list of subjects to be transferred to the local governments. With all these Constitutional provisions, very little has been achieved in fiscal devolution from states to local governments. In this context this article examines the fiscal position of rural local governments/panchayats in - Karnataka. The analysis reveals that Karnataka has given quite large grants to panchayats compared to other states, but it is yet too far from real fiscal decentralisation goal. - Reproduced.


Intergovernmental fiscal relations

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