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Synopsis Finance plays a crucial role in all developmental activities of an organisation. Public libraries being spending organisations do not earn revenue for its services rendered. Therefore, public libraries need constant financial support both from the government and non-government agencies to provide its services smoothly and effectively. A perinnial source of finance also strengthens the system to perform in an efficient manner. An attempt in this direction has been put forth by the author to discuss the role of public libraries in the socio-economic development of the country, Unesco Public Library Manifesto-1994, Development of Public Libraries in India, Public Library Finance : a study, sources of public library finance in the Public Library Act enacted states planed financing of public libraries and role of RRRLF being the principal funding organisation in promoting public library service in the country.