<h1>Composite development-based fund allocation: fixed basic share plus need and performance components to determine state funding.</h1> The report recommends a Composite Development Index to allocate central funds by granting each State a fixed basic allocation supplemented by additional shares determined by measured need and performance using multidimensional indicators such as per capita consumption and poverty ratios; States are classified by index thresholds into development tiers and certain States are identified as highest-need under this framework, with the methodology intended to subsume existing special-category treatment.