Understanding the 16th Finance Commission
The Finance Commission is an essential body in India that determines the distribution of financial resources between the central government and the states. This guide will help you understand the key aspects of the 16th Finance Commission, including its formation, objectives, and challenges.
What is the Finance Commission?
The Finance Commission is constituted by the President of India every five years to define the financial relations between the central government and the individual states. It makes recommendations on the distribution of tax revenues between them and addresses fiscal imbalances.
Who is the Chairman of the 16th Finance Commission?
The Chairman of the 16th Finance Commission is N.K. Singh, a prominent economist and former bureaucrat.
What is the Latest Finance Commission?
The latest Finance Commission is the 16th Finance Commission, established by the Government of India to provide recommendations for the period from 2026 to 2031.
16th finance commission mandate
Division of Tax Proceeds
The Finance Commission is responsible for recommending the division of the net proceeds of taxes between the Centre and the states. This division ensures that states have adequate resources to manage their expenditures and developmental activities.
Principles for Grants-in-Aid
Grants-in-aid are provided to states to supplement their resources. The 16th Finance Commission will establish principles for these grants, focusing on ensuring that funds are distributed equitably based on the states’ needs and performance.
Enhancing State Funds for Local Bodies
One of the significant objectives of the 16th Finance Commission is to enhance the financial resources available to local bodies (municipalities and panchayats). This includes recommending measures to improve their fiscal health and capacity to deliver public services.
Evaluation of Disaster Management Financing
The Commission will evaluate the current mechanisms for disaster management financing and suggest improvements. This includes ensuring that states have sufficient funds to handle emergencies and recover from natural disasters effectively.
Chairman and Members of the 16th Finance Commission
The Chairman of the 16th Finance Commission is N.K. Singh. The other members include:
- Ajay Narayan Jha, former Finance Secretary
- Anoop Singh, economist
- Dr. Ashok Lahiri, former Chief Economic Advisor
- Dr. Ramesh Chand, agricultural economist
Challenges for the 16th Finance Commission
Funding of Defence and Internal Security
One of the critical challenges is balancing the need for funding defence and internal security with the requirements of states for development and welfare activities. The Commission must ensure adequate resources for national security without compromising the states’ fiscal needs.
Impact of COVID-19 Pandemic
The COVID-19 pandemic has significantly impacted the fiscal positions of both the Centre and the states. The 16th Finance Commission will need to address the fiscal stress caused by the pandemic and suggest measures for economic recovery and resilience.
Co-existence of the GST Council
The Goods and Services Tax (GST) Council plays a crucial role in determining GST rates and policies. The Finance Commission must work in tandem with the GST Council to ensure a harmonious fiscal federalism framework.
16th finance commission manoj panda
Dr. Manoj Panda is indeed a member of the 16th Finance Commission of India. He was appointed as a full-time member in April 2024.
Here’s a quick summary of Dr. Panda’s role in the commission:
- Appointed: April 2024
- Position: Full-time Member
- Background: Renowned economist, former Director of Institute of Economic Growth and Centre for Economic and Social Studies (CESS)
Dr. Panda brings his expertise in macroeconomics, development economics, and public finance to the commission. He contributes to their discussions and deliberations on various aspects of India’s fiscal federalism.
It’s important to note that Dr. Manoj Panda wasn’t part of the initial announcement of the 16th Finance Commission members in December 2023. There was a vacancy due to one of the appointed members stepping down for personal reasons. Dr. Panda was appointed to fill that vacancy in April 2024.
arvind panagariya 16th finance commission
Dr. Arvind Panagariya is indeed the Chairman of the 16th Finance Commission of India.
Here’s a quick summary of his role:
- Appointed: December 2023
- Position: Chairman
- Background: Renowned economist, former Vice-Chairman of NITI Aayog
The 16th Finance Commission is currently working on its recommendations for the next five-year award period starting April 1, 2026. Dr. Panagariya leads the commission in its tasks such as:
- Recommending the sharing of taxes between the central government and states.
- Suggesting measures to reduce fiscal deficits of states.
- Strengthening financial relations between the center and states.
- Reviewing allocation of funds for disaster management.
- Advising state governments on providing funds to Panchayats and municipalities.
16th finance commission time period
The 16th Finance Commission’s time period can be understood in two ways:
-
Commission Formation and Tenure:
- The commission was constituted in late 2023.
- Its tenure is for five years.
-
Award Period:
- The commission’s recommendations will be for the next five-year award period starting from April 1, 2026.
- Though the commission is currently working (as of June 11, 2024), its recommendations won’t be implemented until the next award period begins.
16th finance commission in hindi
16वां वित्त आयोग
भारत सरकार ने नवंबर 2017 में 16वें वित्त आयोग का गठन किया था। इस आयोग के अध्यक्ष प्रसिद्ध अर्थशास्त्री डॉ. अरविंद पनगढ़िया हैं। आयोग का कार्यकाल पांच वर्षों का है, जो 1 अप्रैल 2026 तक चलेगा।
आयोग के कार्य:
- केंद्र सरकार द्वारा राज्यों को किए जाने वाले करों के विभाजन की सिफारिश करना।
- राज्यों के वित्तीय घाटे को कम करने के उपाय सुझाना।
- केंद्र सरकार और राज्य सरकारों के बीच वित्तीय संबंधों को मजबूत बनाना।
- आपदा प्रबंधन के लिए धन के आवंटन की समीक्षा करना।
- पंचायतों और नगरपालिकाओं को धन उपलब्ध कराने के लिए राज्य सरकारों को सलाह देना।
आयोग की पहली बैठक अक्टूबर 2023 में हुई थी और उम्मीद है कि वह अक्टूबर 2025 तक अपनी रिपोर्ट सरकार को सौंप देगा।
16th finance commission members in hindi
16वें वित्त आयोग के सदस्यों की आधिकारिक घोषणा नवंबर 2023 में हुई थी। इसमें एक अध्यक्ष और चार सदस्य शामिल हैं:
- अध्यक्ष: डॉ. अरविंद पनगढ़िया (पूर्व उपाध्यक्ष, नीति आयोग)
- पूर्णकालिक सदस्य:
- श्री अजय नारायण झा (पूर्व व्यय सचिव और 15वें वित्त आयोग के सदस्य)
- सुश्री एनी जॉर्ज मैथ्यू (सेवानिवृत्त, व्यय विभाग की पूर्व विशेष सचिव)
- डॉ. निरंजन राजाध्यक्ष (कार्यकारी निदेशक, अर्थ ग्लोबल)
- अंशकालिक सदस्य: डॉ. सौम्य कांति घोष (भारतीय स्टेट बैंक के समूह मुख्य आर्थिक सलाहकार)
ध्यान दें: 16वें वित्त आयोग के सदस्यों के चयन का आधार क्षेत्रीय प्रतिनिधित्व नहीं बल्कि वित्तीय और आर्थिक क्षेत्रों में उनकी विशेषज्ञता है।
16th finance commission in marathi
भारत सरकारने 16व्या वित्त आयोगाची स्थापना केव्हा केली?
भारत सरकारने नवंबर 2017 मध्ये 16व्या वित्त आयोगाची स्थापना केली.
16व्या वित्त आयोगाचे अध्यक्ष कोण आहेत?
प्रसिद्ध अर्थशास्त्री डॉ. अरविंद पनगडिया हे 16व्या वित्त आयोगाचे अध्यक्ष आहेत.
16व्या वित्त आयोगाचा कार्यकाल किती आहे?
16व्या वित्त आयोगाचा कार्यकाल 5 वर्षांचा आहे, जो 1 एप्रिल 2026 पर्यंत चालेल.
16व्या वित्त आयोगाची कामे काय आहेत?
- केंद्र सरकार द्वारा राज्यांना दिले जाणाऱ्या करांच्या वाटपाची शिफारस करणे.
- राज्यांच्या वित्तीय तूटी कमी करण्याचे उपाय सुचवणे.
- केंद्र आणि राज्य सरकारमधील आर्थिक संबंध मजबूत करणे.
- आपत्ती व्यवस्थापनासाठी निधी वाटपाची समीक्षा करणे.
- पंचायती आणि नगरपालिका यांना निधी देण्यासाठी राज्य सरकारांना सल्ला देणे.
16व्या वित्त आयोगाची बैठक कधी झाली?
16व्या वित्त आयोगाची पहिली बैठक ऑक्टोबर 2023 मध्ये झाली होती.
16व्या वित्त आयोगाचा अहवाल कधी सादर होण्याची अपेक्षा आहे?
16व्या वित्त आयोगाचा अहवाल ऑक्टोबर 2025 पर्यंत सरकारला सादर करण्याची अपेक्षा आहे.
टीप:
- 16वा वित्त आयोग अजूनही कार्यरत आहे आणि त्याचा अहवाल अद्याप अंतिम झालेला नाही.
- वरील माहिती 11 जून 2024 पर्यंतची आहे.
FAQ
What is the ToR of the 16th Finance Commission?
The Terms of Reference (ToR) of the 16th Finance Commission include:
- Reviewing the distribution of net proceeds of taxes between the Centre and states.
- Establishing principles for grants-in-aid.
- Enhancing the financial resources of local bodies.
- Evaluating the disaster management financing.
- Addressing the impact of the pandemic on fiscal resources.
- Ensuring funding for defence and internal security.
What is the Tenure of the 16th Finance Commission?
The 16th Finance Commission will provide its recommendations for the period from 2026 to 2031.
Did the Cabinet Approve the ToR for the 16th Finance Commission?
Yes, the Union Cabinet has approved the Terms of Reference for the 16th Finance Commission, allowing it to commence its work on evaluating and recommending the financial distribution between the Centre and states.
Conclusion
The 16th Finance Commission plays a pivotal role in shaping India’s fiscal landscape for the upcoming years. By addressing key challenges and ensuring a fair distribution of resources, it aims to promote balanced economic growth and stability across the country. Understanding its objectives and components helps appreciate its significant contribution to India’s federal structure