Panchayat Advancement Index (PAI) 2.0

Why in News?

On the occasion of National Panchayati Raj Day, celebrated on 24th April 2026, the Panchayat Advancement Index (PAI) 2.0 Report for the FY 2023–24 was released.

• PAI – It is a comprehensive framework designed to measure the holistic development of Panchayats across multiple domains and sectors.
• It is the world’s first nationwide system to evaluate the progress of Gram Panchayats & Traditional Local Bodies using clear, verifiable indicators.
• Released by – Ministry of Panchayati Raj.
• PAI 2.0 – It assessed 2,59,867 rural local bodies (97.3% of all Panchayats) based on their performance and progress across 150 indicators covering nine SDGs.
• PAI 1.0 – Released last year, using FY 2022–23 data, was based on 516 indicators, which have now been reduced to 150.
• It reflects the government’s commitment to strengthening Panchayati Raj Institutions and promoting ‘Viksit Gram Panchayats’ through participatory, transparent, and data-driven local governance.
• Thematic Framework – Framework of Localisation of Sustainable Development Goals (LSDGs) - Aggregates the 17 global SDGs into 9 thematic areas relevant to Panchayati Raj Institutions.

• 5 categories – Based on their score on a scale of 0-100  
  • ‘Achiever’ (90-100),
  • ‘Front Runner’ (75-90),
  • ‘Performer’ (60-75),
  • ‘Aspirant’ (40-60 ) and
  • ‘Beginner’ (below 40).
• Coverage – PAI 2.0 covers all Gram Panchayats in the country, except West Bengal.

Key Findings

• Overall Distribution – Of the 2,59,867 Gram Panchayats,

• State Highlights
• Front Runner – Tripura has emerged as the top-performing state in the PAI 2.0, with 80% of its Gram Panchayats, followed by Kerala (10%) and Odisha (8%).
• Large states – Like Uttar Pradesh (0.09%), Bihar (0.02%), Rajasthan (0.07%), and Punjab (0.007%) lag far behind in front runner category.
• Significance – PAI has become a key evidence-based tool for improving planning, performance monitoring, and accountability of Gram Panchayats/TLBs across States and Union Territories.

References

1. Indian Express | Panchayat Advancement Index (PAI) 2.0
2. PIB | Panchayat Advancement Index (PAI) 2.0