The Committee on datasets for State Finance Commissions report will be released at an event organised by the Ministry of Panchayati Raj in New Delhi on Monday, according to a statement.
Anantha Nageswaran, Chief Economic Advisor, will present the report in the presence of Vivek Bharadwaj, Secretary of the Ministry of Panchayati Raj, and Manish Gupta, Associate Professor at the National Institute of Public Finance and Policy (NIPFP), alongside senior officials and representatives from research institutions and policy organisations.
Following the release, the Chief Economic Advisor will deliver a keynote address on the importance of data-driven policymaking and evidence-based fiscal governance as foundations for empowered local self-government and inclusive development.
The report is described as a significant step in the Government’s ongoing commitment to strengthening the evidence base for fiscal decentralisation in India. State Finance Commissions, established under Article 243-I of the Constitution, are constitutional bodies tasked with reviewing the financial status of Panchayati Raj Institutions and recommending principles for the allocation of financial resources to local governments.
For the Commissions to fulfil their responsibilities effectively, they require access to reliable, timely, and disaggregated data on local government finances, demographics, infrastructure, service delivery, and asset management.
The Ministry formed the Committee on Datasets for State Finance Commissions following concerns raised at the Finance Commissions’ Conclave on Devolution to Development held in November 2024, led by the Chairman of the Sixteenth Finance Commission. The difficulty of obtaining comprehensive datasets across departments and agencies was identified as a critical obstacle affecting the quality and timeliness of State Finance Commission recommendations.
The report provides a detailed mapping of the essential datasets needed by State Finance Commissions and offers actionable recommendations to enhance data availability, standardisation, interoperability, and institutional capacity within the data ecosystem supporting local fiscal analysis.
It is expected to become an authoritative reference for State Governments, State Finance Commissions, constitutional bodies, economic researchers, and others engaged in advancing democratic decentralisation and strengthening local public finance in India.