PM VGSY approved with ₹7,395.55 crore outlay

Union Cabinet approved Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY) as a Centrally Sponsored Scheme for 2026-27 to 2030-31, with an outlay of ₹7,395.55 crore. The Central share is ₹4,869.48 crore and the State share is ₹2,526.07 crore.

The scheme will cover all States and Union Territories. Around 32 lakh elected representatives, Panchayat functionaries and other stakeholders across over 2.55 lakh Panchayats and Traditional Local Bodies are direct beneficiaries. Each awareness exercise will reach at least 1 crore citizens.

PM VGSY will support 2.55 lakh Gram Panchayat Development Plans and at least 2.55 lakh online audit plans each year. It will also provide capacity building to around 32 lakh elected representatives annually. State governments and Union Territory administrations will implement the scheme through annual action plans. No permanent posts will be created; need-based contractual staff may be engaged at State, District and Block levels.