Keralam’s local bodies urged to pursue tangible development outcomes

Minister for Local Self-Government K.M. Shaji suggested that the State explore organisational frameworks such as nagar panchayats and a centralised fund-pooling mechanism at the panchayat level. (File photo)

Calling for structural and institutional reforms in Keralam’s local bodies, experts and policymakers have advised the State to look beyond “fragmented projects” and shift the focus from mere financial expenditure to tangible development outcomes.

The observations came at a workshop, ‘Finance Commission and Keralam’s Local Governments: Challenges and Way Forward,’ organised by the Gulati Institute of Finance and Taxation (GIFT) here the other day.

Speakers at the workshop observed that while Keralam leads in decentralisation, the next era of local governance requires administrative agility, outcome-driven resource allocation and commitment to asset sustainability. The workshop discussed ways to make effective use of the grants that Keralam’s local governments are expected to receive over the 2026-2031 period under the 16th Finance Commission.