Local governments in India have played a dominant role in improving the status and economic conditions of the rural people. India lives in her villages, Gandhiji's famous slogan about the significance of Gramapanchayat and local government. Since decentralization helps us to achieve the desired goal in a well conceived manner through the mobalisation of funds and allocation of resources to achieve sustainability. Local bodies like municipalities, gram panchayats, zilla panchayats, etc; are working at grassroots level and are in the direct contact of impoverished masses. Plans like NREGA, JRX IAY, Antyodaya scheme etc. which are prepared and funded by Central and State governments fail to deliver properly in eradicating poverty of the masses.
