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VOL. 12, ISSUE 3 (2026)
Financial management practices of Gram Panchayaths and Their contributions to rural development
Authors
Ganesh H N Pai
Abstract
The present study, titled “Financial
Management Practices of Gram Panchayaths and their Contributions to Rural
Development,” examines the contribution of Gram Panchayats to rural development
with particular emphasis on their administrative and service-delivery roles.
Gram Panchayats constitute the basic unit of rural local self-government and
are responsible for planning, implementation of development programmes,
provision of essential services, welfare activities, and community
participation. The study aims to examine the influence of the administrative
role and the impact of service roles performed by Gram Panchayats on rural
development in Chikkamagaluru District. Primary data were collected through
structured questionnaires, surveys and personal interviews from rural
residents, Panchayat Development Officers, elected Gram Panchayat members and
other relevant stakeholders. A sample of 402 respondents was selected using a
targeted purposive sampling approach. Secondary data were obtained from books,
journals, government reports, official websites, statistical publications and
previous studies. The collected data were analysed using SPSS, applying
descriptive statistics and multiple regression analysis. The findings reveal a
very strong relationship between the administrative role of Gram Panchayats and
rural development (R = 0.942; R² = 0.886), while the service role also
demonstrates a strong relationship (R = 0.859; R² = 0.738). The regression
models are statistically significant, confirming that both administrative and
service roles significantly contribute to rural development. Record management,
public service delivery, monitoring, roads, drinking water, education and
agricultural support emerge as important contributors. The study concludes that
strengthening participatory planning, administrative efficiency, transparency,
service delivery, institutional coordination and accountability can enhance the
effectiveness of Gram Panchayats and promote inclusive and sustainable rural
development in Chikkamagaluru District.
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Pages:247-255
How to cite this article:
Ganesh H N Pai "Financial management practices of Gram Panchayaths and Their contributions to rural development". International Journal of Commerce and Management Research, Vol 12, Issue 3, 2026, Pages 247-255
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