Stalin Proposes Raising MPLADS Fund Limit to ₹10 Crore

Rapid Summary

• Tamil Nadu Chief Minister M.K. Stalin proposed a resolution requesting the Union government to increase the funds under the Members of Parliament Local Area Development Scheme (MPLADS) from ₹5 crore to ₹10 crore.
• He highlighted delays in obtaining approvals for fund usage via central government-managed portals like eSAKSHI and PFMS and suggested granting approval powers to State nodal agencies to reduce these delays.
• The CM chaired a meeting of the State-level Development Coordination and Monitoring Committee at Chennai’s Secretariat, emphasizing timely release of funds by both State and Union governments for welfare programs.
• Mr. Stalin noted that while MLA Constituency Development Scheme funds are set at ₹3 crore, there has been ongoing demand for MPLADS funds to be increased proportionally.
• Several ministers, MPs, MLAs, senior officials, along with Chief Secretary N. Muruganandam participated in this meeting.

Indian Opinion Analysis

This request by Tamil Nadu’s Chief Minister underscores an effort to secure greater financial autonomy at the local governance level through enhanced MPLADS allocations. Increasing MPLADS funding could boost developmental work but requires careful balancing with fiscal prudence given national expenditure constraints. The delay in fund approval processes via centrally-controlled portals also highlights broader challenges in federal coordination mechanisms-a recurring issue across states implementing Union-backed schemes.

While advocating quicker fund distribution reflects better responsiveness toward local needs, it also raises questions on logistical feasibility and accountability frameworks required for multi-stakeholder participation between States and the Center. A larger discourse on refining inter-governmental cooperation may emerge as critical given such developments.

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