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The 16th Finance Commission, chaired by Dr. Arvind Panagariya, presented its report for the period 2026-31, recommending a 41% share of states in central taxes and introducing new parameters for devolution based on population growth and contribution to GDP. The Commission proposed grants totaling Rs 9.47 lakh crore for local bodies, emphasizing performance-based funding and discontinuing certain grants from the previous commission. Additionally, it suggested reforms in fiscal management, power sector privat

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