Rajasthan Cabinet Approves Major Reforms in Panchayati Raj and Economic Offences
The Rajasthan Cabinet, chaired by Chief Minister Bhajanlal Sharma, took several key decisions in its meeting held at the State Assembly Secretariat today.
Briefing the media after the meeting, Deputy Chief Minister Prem Chand Bairwa, Industry and Commerce Minister Rajyavardhan Singh Rathore, and Parliamentary Affairs Minister Jogaram Patel announced that the Cabinet has approved amendments to the Rajasthan Panchayati Raj Act, 1994 and the Rajasthan Municipalities Act, 2009.
With the proposed Rajasthan Panchayati Raj (Amendment) Bill, 2026 and Rajasthan Municipalities (Amendment) Bill, 2026, individuals having more than two children will now be eligible to contest Panchayati Raj and municipal elections. The government stated that the earlier restriction was imposed in the 1990s to control population growth, but with the fertility rate now reduced significantly, the provision has become less relevant.
The Cabinet also approved the formation of a Directorate of Revenue Intelligence and Economic Offences to strengthen action against financial crimes. The new body will investigate cases related to real estate fraud, banking and insurance scams, tax evasion, fake companies, illegal land transactions, and other economic offences to ensure better financial discipline and prevent revenue leakage.
In another major decision, the Cabinet cleared the Rajasthan Industrial Park Incentive Policy, 2026. The policy aims to accelerate industrial growth, attract investment, and create employment. Capital subsidies of up to 20% will be provided for infrastructure development in private industrial parks, with financial assistance linked to park size.
The Cabinet further approved land allocation in Neem Ka Thana for setting up a beneficiation and pellet plant with an investment of around 500 crore rupees, expected to generate direct employment for over 500 people.
These decisions reflect the government's commitment to fostering economic growth and ensuring social inclusivity. The amendments to the Panchayati Raj Act and the formation of the new Directorate are expected to have a significant impact on the state's governance and economic landscape.
