this gives basic an idea

2.  Introduction
 73rd AmendmentAct
 Grants of the finance commission
 Poverty alleviation through Panchayat
 e-Governance in Panchayat

3. •The term panchayati raj signifies a system of rural local self
governance.
•A formal system of local governance, though a very weak one, was
introduced in the country during the British period.
•In november 1957 Balwant G Mehta recommended scheme of
democratic decentralisaion which ultimatemately came to be
known as panchayati raj.
•In view of the need for establishing a system of local governance,
i.e., the Panchayats, in the rural areas of the entire country the
Constitution was amended in the year 1993 .
• That made the Panchayats to be the third stratum of government
(along with Municipalities in the urban areas) of the country.

4. •The Constitution of India was amended through the Constitution
(Seventy-third Amendment) Act, 1992.
• It provides the third stratum of government (i.e., below the Central
Government and the State Government) for the rural areas of the
country.
• The Amendment took effect from the 24th April 1993 and the same
provides for the basic institutional framework of the Panchayats in
the country state.
•It added a new part –IX to the constitution.
•It has also added a new 11th schedule to the constitution.

5. • The Central Finance Commission, after the 73rd and 74th Amendment
of the Constitution has been recommending lump sum amount to the
local bodies.
•14th Finance Commission has awarded Rs. 200,292.2 crores to
Panchayats for 2015-2020, which is more than three times the grant of
the 13th Finance Commission,
•While the 13th FC grant was for all three tiers of Panchayats , the 14th
FC grant is for Gram Panchayats only.
•The fund availability at the GP level will now be Rs. 2,404 per capita
over five years.
• The fourteenth FC grant is to be spent on basic services such as
sanitation, drinking water, maintenance of community assets etc.

6.  Organizing the poor in Self Help Group (SHG) .
 Building their capacities for taking up income earning
activities .
 Participating in various social development programmes
under the SGSY (Swarnajayanti Gram SwarojgarYojana) is
an important programme which is implemented by the
Panchayats.
 Implementation of the rural housing scheme, such as the
India AwasYojana is another important poverty alleviation
programme assigned to the Panchayats.
 The other important programmes being implemented by
the Panchayats is the National Social Assistance
Programme (NSAP) for providing pensions to the elderly
persons, the handicapped and the widows of BPL families.

7. •The Panchayats need to augment its capacity to deliver,
maintain accountability in all decision making as well as to make
its functioning more transparent.
• All the processes in some states like West Bengal are taken care
of through e-Governance.
•The software developed for the GP is known as the Gram
Panchayat Management System (GPMS) .
• The same takes care of delivery of some of the services like
issuing Birth & Death certificates,Trade licenses, management
of PropertyTax etc. apart from maintaining accounts.