UPSC Prelims Practice Questions — Cabinet approves Pradhan Mantri Viksit Gram Swaraj Yojana as a Centrally Sponsored Scheme for 2026-27 to 2030-31

Q1. With reference to the design of the Pradhan Mantri Viksit Gram Swaraj Yojana (PM VGSY) approved in October 2026, consider the following statements: Which of the statements given above is/are correct?

  1. Its expenditure is shared between the Union and the States/UTs, which places it among Centrally Sponsored rather than Central Sector schemes.
  2. Its activities are executed directly by Union government agencies, with State Governments playing only a consultative role.
  3. States/UTs prepare Annual Action Plans under it, but approval of these plans rests with a committee at the Central level.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q2. Consider the following statements regarding the timing of PM VGSY and Panchayat finance: Which of the following is correct in respect of the above statements?

  1. The duration of PM VGSY has been set to coincide with the award period of the Sixteenth Finance Commission.
  2. Article 243-I requires the Governor of a State to constitute a State Finance Commission at the expiration of every fifth year.
  • A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
  • B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
  • C. Statement-I is correct, but Statement-II is incorrect
  • D. Statement-I is incorrect, but Statement-II is correct

Q3. With reference to the constitutional link between the Union Finance Commission and the finances of Panchayats, consider the following statements: Which of the statements given above are correct?

  1. The State Finance Commission is constituted by the President on the advice of the Union Finance Commission.
  2. The Union Finance Commission recommends measures to augment the Consolidated Fund of a State in order to supplement the resources of Panchayats.
  3. The recommendations of the State Finance Commission, with a memorandum of action taken, are laid before both Houses of Parliament.
  4. The Union Finance Commission's recommendations on Panchayat resources are to be made on the basis of the State Finance Commission's recommendations.
  • A. 1 and 2 only
  • B. 3 and 4 only
  • C. 1, 2 and 4 only
  • D. 2 and 4 only

Q4. With reference to Part IX of the Constitution inserted by the 73rd Amendment, consider the following statements: Which of the statements given above are correct?

  1. The powers and functions of the Gram Sabha are laid down uniformly in the Constitution itself and cannot be varied by States.
  2. A State with a population not exceeding twenty lakh may choose not to constitute Panchayats at the intermediate level.
  3. Devolution of powers relating to Eleventh Schedule matters to Panchayats takes effect through State law rather than automatically.
  4. The District Planning Committee consolidates the plans prepared by both Panchayats and Municipalities in the district.
  • A. 1 and 4 only
  • B. 2, 3 and 4 only
  • C. 1, 2, 3 and 4
  • D. 1, 2 and 3 only

Q5. Consider the following statements in the context of the coverage of PM VGSY: Which of the following is correct in respect of the above statements?

  1. PM VGSY extends support to traditional local bodies, and not only to Panchayats, in certain parts of the country.
  2. Article 243M excludes the Scheduled Areas and Tribal Areas, and the States of Nagaland, Meghalaya and Mizoram, from the application of Part IX of the Constitution.
  • A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
  • B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
  • C. Statement-I is correct, but Statement-II is incorrect
  • D. Statement-I is incorrect, but Statement-II is correct

Q6. With reference to Article 243M and the areas to which Part IX of the Constitution does not apply, consider the following statements: Which of the statements given above is/are correct?

  1. The whole of the State of Manipur is excluded from the application of Part IX.
  2. Part IX applies to the Scheduled Areas only to the extent that Parliament extends it by law, with such exceptions and modifications as the law specifies.
  3. A law of Parliament extending Part IX to the Scheduled Areas is not deemed to be an amendment of the Constitution for the purposes of Article 368.
  • A. 2 and 3 only
  • B. 1 and 2 only
  • C. 1 and 3 only
  • D. 1, 2 and 3