Local Self Administration: 

It means formation of local bodies for administration at the local level with the participation of the local public solution to the development of the local area are found by the people through their political participation. The local representatives of the people at different levels i.e. rural and urban seek solution to the local problems of their respective area.

The local self-government institutions play an important role in the functioning of democracy at grassroot level. 

i) These institutions provide the foundations on which the entire democratic structure of our country stands.They make it possible for local people to take interest in their own affairs.

ii) They provide a training ground for local leadership to gain necessary experience for undertaking bigger challenges at the state or the national level.

iii) Local people know their problems well and are best judges of their own needs and requirements.

iv) These institutions lessen the burden of workload on State and Central Government machinery.

v) These institutions encourage self-help and voluntary service and save the state of many unnecessary expenses.