Adoption of Single Nodal Agency (SNA) 'Sparsh' Funds Release System

The Finance Ministry mandates the adoption of the Single Nodal Agency (SNA) 'Sparsh' funds release system for all Centrally Sponsored Schemes (CSS) by October 31, with implementation starting November 1.

Implementation Details

• The directive applies to all departments, states, and Union Territories (UTs) with legislatures.
• All CSS funds will be released exclusively through this system from November 1, 2025.
• The Ministry emphasizes the need for adherence to the timelines for onboarding schemes onto the SNA Sparsh platform.

Objectives and Benefits

• This move aims to streamline fund flow and enhance transparency in scheme implementation.
• The system promotes the optimal utilization of funds.
• The Centre has allocated ₹5.41 lakh crore for CSS in FY2026, constituting about 50% of the total capital expenditure outlay.

SNA-Sparsh System

• Introduced by the Reserve Bank of India (RBI) in June 2022.
• A “just-in-time” funds release system for simplified payment and reconciliation.
• Consolidated unspent balances from over 1.5 million bank accounts into 4,500 SNA accounts, saving the government over ₹11,000 crore since FY2023.

Current Status and Future Plans

• Most large flagship schemes are onboarded; smaller schemes remain to be included.
• Large CSS schemes like Pradhan Mantri Awas Yojna (Urban 2.0), National Urban Livelihood Mission, among others, are pending inclusion.