The centre on Sunday released an amount of Rs 8,923 crore to 25 states for providing grants to the rural local bodies (RLBs) in view of the COVID-19 pandemic.
The grants are meant for all the three tiers of Panchayati Raj Institutions - village, block and district.
It will augment resources to the three tiers of panchayats for fighting the contagion, the Finance Ministry said in a statement.
The grant was released to panchayats a month in advance for various prevention and mitigation measures needed to combat the COVID-19 pandemic, among other things.
As per the recommendations of the 15th Finance Commission, the first tranche of the grants was to be released in June.
Additionally, certain conditions for the release of funds have also been waived taking into consideration the prevailing circumstances.