New Delhi. A delegation of the 16th Finance Commission, led by its Chairperson Dr. Arvind Panagariya, met Prime Minister Narendra Modi and submitted the Commission’s final report. The Prime Minister wrote on his social media platform X that he had met the members of the 16th Finance Commission, headed by Dr. Arvind Panagariya.
The report presents detailed recommendations on the principles governing the distribution of net tax revenue between the Centre and the States for the five-year period beginning 1 April 2026 (2026–2031). It also outlines the criteria for allocating shares among individual states, the quantum and conditions of grants-in-aid, mechanisms for financing disaster management initiatives, and other related matters.
Earlier on Monday, members of the 16th Finance Commission had called on President Droupadi Murmu and presented her a copy of the report. Subsequently, the Commission also submitted a copy to Union Finance Minister Nirmala Sitharaman. According to the official statement, the report will be placed before both Houses of Parliament by the Finance Minister as required under Article 281 of the Constitution, after which it will be made available in the public domain.
The 16th Finance Commission was constituted by the President of India. It was chaired by Dr. Arvind Panagariya, with members Annie George Mathew, Dr. Manoj Panda, T. Rabi Shankar, and Dr. Soumya Kanti Ghosh. The Commission’s Secretary, Ritvik Pande, was also present during the submission of the report.
During its nearly two-year tenure, the Commission held extensive consultations with the central government, all state governments, representatives of Panchayati Raj institutions and urban local bodies, former chairpersons and members of previous Finance Commissions, major academic institutions, multilateral financial organizations, the Commission’s advisory council, and experts from various fields.
