Aspirant Academy

Economy

Predicted Questions with Model Answers

Rural Development, Panchayati Raj, State Finance Commission

Paper I · Unit 2 Section 13 of 14 0 PYQs 35 min
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Predicted Questions with Model Answers

Q1 (5 marks — 50 words)

Describe the three-tier Panchayati Raj structure in Rajasthan with current data on the number of institutions at each tier.

Model Answer (EN): Rajasthan's Panchayati Raj system (under Rajasthan Panchayati Raj Act 1994, implementing the 73rd Amendment) has three tiers: 33 Zila Parishads (district level), 365 Panchayat Samitis (intermediate level), and 11,194 Gram Panchayats (village level) as of 2024-25. Women hold 50% of reserved seats, above the constitutional minimum of one-third.

Q2 (5 marks — 50 words)

What is MGNREGS performance in Rajasthan in 2024-25? Mention three key data points.

Model Answer (EN): Rajasthan's MGNREGS performance in 2024-25 (up to December 2024): (1) ₹7,676.98 crore total expenditure; (2) 53.28 lakh households employed; (3) 2,309.72 lakh man-days generated. Additionally, 1.27 lakh households completed 100 days, demonstrating rural employment effectiveness in the state's drought-prone districts.

Q3 (5 marks — 50 words)

What is the Svamitva Yojana and what has been its progress in Rajasthan?

Model Answer (EN): Svamitva Yojana (launched April 24, 2020 on National Panchayati Raj Day) uses drone surveys to map rural habitations and create property cards (pattas). In Rajasthan, surveys are completed in 35,955 of 36,352 villages with 6,85,935 property cards distributed, enabling rural residents to use land as collateral for loans.

Q4 (5 marks — 50 words)

What was the significance of the Rajasthan Panchayati Raj (Amendment) Bill 2026 that was passed in March 2026?

Model Answer (EN): The Rajasthan Panchayati Raj (Amendment) Bill 2026 (passed March 8-9, 2026) abolished Section 19 of the 1994 Act — the 31-year-old two-child norm disqualifying candidates with more than two children from contesting local body elections. Leprosy-based disqualification was also removed. India's TFR now at replacement level of 2.0 justified the change.

Q5 (10 marks — 150 words)

Critically compare the roles of the 15th Finance Commission and the 6th State Finance Commission in devolving funds to Rajasthan's Panchayati Raj Institutions. Use data to support your answer.

Model Answer (EN): The 15th Finance Commission (FC) and 6th State Finance Commission (SFC) are distinct devolution channels to Panchayati Raj Institutions (PRIs), each with different constitutional mandate, coverage, and scale.

Constitutional basis: 15th FC operates under Article 280 (national body chaired by N.K. Singh for 2021-26); 6th SFC operates under Article 243-I (state body, mandatory under 73rd Amendment).

Scale and performance (2024-25): 15th FC — budget allocation ₹4,100 crore, transferred ₹2,203.29 crore, 42,028 works completed; 6th SFC — budget ₹4,000 crore, transferred ₹621.07 crore, 37,394 works completed. The 15th FC transfer rate (53.7%) exceeds 6th SFC (15.5%), reflecting administrative bottlenecks at state level.

Fund structure: 15th FC grants are 60% tied (health + sanitation, SDG 3 and 6 aligned) and 40% untied; 6th SFC devolution uses the ratio GP:PS:ZP = 75:20:5, prioritising village-level governance.

Complementarity: The two channels are mutually reinforcing — 15th FC addresses infrastructure and service delivery; 6th SFC funds operational governance. Together with MGNREGS (₹7,676.98 crore, 53.28 lakh households), they form Rajasthan's rural public finance architecture.