The central government, on Sunday (31.12.2023), appointed former Niti Aayog Vice Chairman Arvind Panagariya as the Chairman of the 16th Finance Commission. Ritvik Ranjanam Pandey (IAS:1998:KN), Joint Secretary in the Finance Ministry, has been appointed as the Secretary to the Commission, according to a government notification.
“The President is pleased to constitute a Finance Commission with Dr Arvind Panagariya, former Vice-Chairman, NITI Aayog, and Professor, Columbia University, as the Chairman. Members of the Commission will be notified separately,” the notification stated.
The commission has been tasked with submitting its report for the five years from 2026-27 to 2030-31 to the President by October 31, 2025.
In the previous month, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved the Terms of Reference (ToR) of the 16th Finance Commission. The commission’s role includes suggesting tax devolution between the Centre and states, proposing revenue augmentation measures, and reviewing the existing arrangements for financing disaster management initiatives concerning the funds constituted under the Disaster Management Act, 2005.
The Finance Commission is a constitutional body responsible for providing recommendations on centre-state financial relations.
