The Centre has accepted the major recommendations of a Chief Ministers’ panel on rationalisation of Centrally-Sponsored Schemes on 3 August.

The panel has recommended that the number of CSSs should not normally exceed 30. In addition to that, increasing the quantum of flexi funds under the CSS to 25 percent from 10 percent was another recommendation by the panel. This option provides states the liberty to use funds under a scheme to achieve the mandated objective. The sub-group has also categorised the CSSs into Core and and Optional Schemes, of which Core schemes are further divided into 'Core of the Core' schemes and 'Core' schemes.

The rationalisation of the CSSs would ensure optimum utilization of resources with better outcomes through area specific interventions. This would also ensure wider reach of the benefits to the target groups.