Indian Polity · Local Self Government
Which of the following statements is constitutionally correct regarding the State Finance Commission constituted under Article 243I?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1It is appointed by the Union Ministry of Finance.
- 2It reviews the financial position of the Panchayats and makes recommendations to the Governor.✓
- 3Its recommendations are automatically legally binding on the State Legislature.
- 4It possesses the executive power to directly allocate central consolidated funds to urban bodies.
Correct answer
It reviews the financial position of the Panchayats and makes recommendations to the Governor.
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