The prime role played by the technology in bringing about economic and social changes in the development of a country is well known from the days of industrial revolution. Therefore the technological development of Panchayats Indian constitution has listed 16 activities out of 29 like agriculture, sanitation, animal husbandry, protection of water sources , irrigation and water supply etc. which are technology oriented. Panchayats are solely responsible for the development and technological advancement of the village. to perform this function Village Panchayats ensure the assistance from states. The assistance is financial as well as technical to develop the village. Though, the fund available are insufficient to fulfill the need but still some activities related to village sanitation, irrigation, water shed management etc can be carried out by the village Panchayats themselves as they don't need much finances. Panchayats can also help the local people to get the finance available at cheap rates through some financial institutions, for the use of technology in the village to make work simple, quick and environment friendly, which will help in development of the village. Some of the activities or areas of technological advancement and development in which Panchayats can help by overcoming the financial limitation are awareness creation, installation of community biogas plants, rain water harvesting, social forestry, waste water disposal etc.