The centrally sponsored scheme, an upgraded version of the Rashtriya Gram Swaraj Abhiyan, will run from 2026-27 to 2030-31 under the Ministry of Panchayati Raj.

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• The Union Cabinet approved the Pradhan Mantri Viksit Gram Swaraj Yojana to strengthen grassroots governance and rural development across the country.
• PM-VGSY is a centrally sponsored scheme administered by the Ministry of Panchayati Raj.
• The total outlay is ₹7,395.55 crore, which The Hindu reports as a ₹7,396 crore panchayat capacity-building scheme.
• It will be implemented from 2026-27 to 2030-31, matching the period of the Sixteenth Finance Commission.
• The scheme is an upgraded version of the Rashtriya Gram Swaraj Abhiyan.
• It covers all States and Union Territories, including areas where panchayats under Part IX of the Constitution do not exist.
• In such areas, traditional rural local government institutions will be covered by the scheme.
• Around 32 lakh elected representatives, panchayat functionaries and other stakeholders are expected to benefit.
• The scheme will reach more than 2.55 lakh panchayats and traditional local bodies.
• The Cabinet decision is framed around strengthening village-level governance in support of the Viksit Bharat vision.