Prime Minister Narendra Modi. (Image Source: IANS). Image Source: IANS

New Delhi, Jan 10 : The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, on Wednesday gave its nod to continuation of Members of Parliament Local Area Development Scheme (MPLADS) till the term of the 14th Finance Commission, that is, March 31, 2020, the government said.

The scheme would entail an annual allocation of Rs 3,950 crore and a total outlay of Rs 11,850 crores over the next three years.

Besides, there would be an additional allocation of Rs 5 crore per anum for monitoring through independent agencies and for capacity building/training imparted by the Centre to state and district officials.

The MPLAD funds are released to the nodal district authorities on receipt of requisite documents and as per provisions of guidelines on MPLADS.

Launched in 1993-94, the MPLAD scheme enables MPs to recommend works for creation of durable community assets based on locally felt needs to be taken up in their constituencies in the area of national priorities namely drinking water, education, public health, sanitation, roads etc.

"Over the years it has resulted in creation of various durable community assets which have impacted the social, cultural and economic life of the local communities in one way or the other," an official release said.

"Since the inception of the Scheme till August 2017, a total of 18,82,180 works for Rs 44,929.17 crore have been sanctioned from MPLAD fund," it added.

The guidelines governing the scheme were last revised in June 2016.

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