Village Panchayats must be allocated seven percent of the total central budgetary allocation to stem corruption and create a vibrant system, said Mr K N Govindacharya, founder and patron of Rashtriya Swabhimaan Andolan (RSA).

The central budget is of about Rs 14 lakh crore. If seven percent of it is allocated, it would provide Rs 40 lakh a year to each of the 2.5 lakh panchayats for development of the rural areas and building of infrastructure.

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