The Cabinet Committee on Economic Affairs (CCEA) on Wednesday decided to continue the scheme of Members of Parliament Local Area Development Fund (MPLAD) till the end of the 14th Finance Commission, which concludes on 31 March 2020.

The scheme would entail an annual allocation of Rs 3,950 crore and a total outlay of Rs 11,850 crore over the next three years with an additional annual allocation of Rs 5 crore per year for monitoring through an independent agency or agencies and for capacity building or training to state or district officials to be imparted by the Ministry.

The MPLADS funds are released to the nodal district authorities on receipt of requisite documents and as per provisions of guidelines on MPLADS. The scheme has effectively created durable assets like drinking water, education among others for the entire country.