Take a look at the essential events, concepts, terms, quotes, or phenomena every day and brush up your knowledge. Here’s your knowledge nugget for today.(Relevance: The Panchayati Raj system is a significant topic in the General Studies II paper of the UPSC CSE. Moreover, the UPSC has previously asked questions on Panchayati Raj at various stages of the exam, ranging from basic to more advanced levels. For instance, in 2018, UPSC asked the following question in its Mains examination: “Assess the importance of the Panchayat system in India as a part of local government. Apart from government grants, what sources can the Panchayats look out for financing developmental projects?” Therefore, it is crucial to study this topic not only from a static perspective but also to track the related developments.)Recently, the Union Ministry of Panchayati Raj released the Panchayat Devolution Index , which is based on a study conducted by the Indian Institute of Public Administration (IIPA). The index was last published in 2014, and over the past decade, the national average score has increased from 39.92 to 43.89.1. As of 2024, India has 2.62 lakh panchayats, an increase from 2.48 lakh in 2013-14. Uttar Pradesh, Maharashtra, and Madhya Pradesh recorded the highest number of panchayats in both 2013-14 and 2024.2. The IIPA studied 172 panchayats across 68 districts in India to assess the performance of the panchayat system based on six parameters: framework, functions, finances, functionaries, capacity building, and accountability. Using this data, the IIPA developed the Panchayat Devolution Index .3. The index scores states on a scale of 0 to 100. Karnataka, Kerala, and Tamil Nadu ranked highest on the index, while Uttar Pradesh and Bihar showed the most significant improvement.4. According to the latest index, Manipur, Arunachal Pradesh, and Jharkhand are the lowest-scoring states. Over the past decade, Manipur, Arunachal Pradesh, and Haryana have experienced the most significant declines. Among the top 10 states, only Maharashtra, which ranks fourth overall, has seen a decrease in its score.Story continues below this ad5. Notably, in 2013-14, Maharashtra, Kerala, Karnataka, Tamil Nadu and Chhattisgarh got the top scores. Since then, 18 states and Union Territories improved their scores while 11 recorded declines.6. Women representation: While most states have a 50% reservation quota for women in panchayats, seven states and union territories fall below this threshold. These include Madhya Pradesh, Haryana, Punjab, and Tripura.📍On the other hand, 21 states and union territories meet or exceed the reservation threshold. Odisha has the highest proportion of women among panchayat representatives at 61.51%, followed by Himachal Pradesh at 57.5% and Tamil Nadu at 57.32%.Knowledge Nugget | Knowledge Nugget: How is geo-tagging of Chinar trees in Jammu and Kashmir important for UPSC Exam?📍Uttar Pradesh has the lowest proportion of women representatives at 33.33%, as its regulations allow only a one-third reservation for women.Story continues below this ad📍Nationally, the average proportion of women representatives is 46.44%, a slight increase from 45.9% in 2013-14. In 2013-14, there were 11 states with 50% or more women representatives; by 2024, this number has risen to 16 states.7. Scheduled Castes (SCs), Scheduled Tribes (STs), and Other Backward Classes (OBCs) representation: While there is no formal reservation for SCs, STs, and OBCs, specific states have shown notable representation of these groups in panchayats.📍Punjab has the highest proportion of SC representatives at 36.34%.📍Chhattisgarh has the highest share of ST representatives at 41.04%.📍Bihar has the highest representation of OBCs at 39.02%.📍In comparison, the national average representation for these groups is 18.03% for SCs, 16.22% for STs, and 19.15% for OBCs.8. Major challenges: Studies have shown that consistent funding and infrastructure pose major challenges for panchayats.Story continues below this ad📍Funding: In 2023-24, state governments allocated Rs 47,018 crore to panchayats, according to the study, but only Rs 10,761 crore was released as of November 2023. In 2022-21, states allocated Rs 46,513 crore, of which Rs 43,233 crore was released.📍Infrastructure: Panchayats in some states lack basic infrastructure. Only seven states and UTs reported that 100% of their panchayat offices were pucca buildings while in 21 states and UTs, at least three-fourths of panchayat offices were pucca.BEYOND THE NUGGET: Panchayati Raj Institutions in India: History and Significance1. The Panchayati Raj System is a significant step towards grassroots democracy and the empowerment of people in rural areas. By giving local bodies the power to govern themselves, the system promotes participatory democracy, where people can actively participate in decision-making processes that affect their communities.National Panchayati Raj DayThe National Panchayati Raj Day is celebrated annually on April 24th. The day was established in 1993 after the enactment of the 73rd Amendment Act, which introduced a three-tier system at the village, block, and district levels.2. The Panchayati Raj System has its roots in ancient India, where the village council, known as the Panchayat, was the primary governing body. It wasn’t until 1993 that the Panchayati Raj System was granted constitutional status and made compulsory for all states in India.Story continues below this ad3. The 73rd Amendment Act of 1992, which came into effect on April 24, 1993, gave constitutional status to Panchayati Raj Institutions (PRIs), marking a significant moment in the history of decentralisation of political power to the grassroots level.4. This delegation of authority was not just a response to the demand for democracy; it also reflected one of Mahatma Gandhi’s core principles. He consistently advocated for a Panchayati Raj system, which encourages local communities to participate in the management of their villages.5. The 73rd Constitutional Amendment Acts introduced Part IX in the Constitution, which deals with the structure, powers, and functions of Panchayats (Article 243 to 243O).6. In recent times, the importance of Panchayati Raj has grown, as effective local administration is necessary for India to achieve inclusive growth and address problems like climate change and rural-urban migration. PRIs are in a good position to ensure fair and sustainable development at the local level and respond to local demands.Story continues below this ad(References: What a government study reveals about the state of panchayats in India, National Panchayati Raj Day 2024: Get to know the date, origin, and significance)🚨 Click Here to read the Union Budget Special issue of the UPSC Essentials magazine for February 2025. Share your views and suggestions in the comment box or at manas.srivastava@indianexpress.com🚨Subscribe to our UPSC newsletter and stay updated with the news cues from the past week.Stay updated with the latest UPSC articles by joining our Telegram channel – Indian Express UPSC Hub, and follow us on Instagram and X.Story continues below this ad