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PM VGSY is approved for a period that is co-terminus with the award period of which body?

  1. A.The 8th Central Pay Commission
  2. B.The Sixteenth Finance Commission
  3. C.The Fifteenth Finance Commission
  4. D.NITI Aayog's governing council

Correct answer

B. The Sixteenth Finance Commission

Explanation

The correct answer is the Sixteenth Finance Commission. The scheme has been sanctioned for the years from 2026-27 to 2030-31, and the Cabinet decision states plainly that this term is co-terminus with that commission's period. The logic is practical: the commission has recommended a very large sum in grants for rural local bodies over the same years, and panchayats need the planning and audit capacity to absorb it, so the scheme and the grants move in step. Option C names the previous commission, whose award period has ended, and option A names a pay commission, which deals with the salaries of government employees rather than transfers to local bodies. Option D names a policy think tank that neither recommends grants nor fixes award periods. Distinguishing a Finance Commission from a Pay Commission, and one Finance Commission from the next, is a routine examination test.

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