Part 11 of Indian constitution focus on Central state relationship covering legislative administrative while part 12 deals with financial relationships.

1. legislative= article 245-255
2. administrative=article 256-263
3. financial=article 264-293
    

Legislative Relationship:

• The legislative relationship comes into Article 245 and 255 in Part IX of the Indian Constitution. It deals with 3 main lists:
  • Union List (100 subjects):
    • The Parliament has exclusive power to make laws legislating on subjects mentioned in the Union List. There are 100 subjects in the Union List, with a few examples being:
      • Defence
      • Foreign affairs
      • Atomic energy
  • State List (61 subjects):
    • The State Legislature has powers over 61 subjects, with examples including:
      • Health
      • Sanitation
      • Public order
      • Agriculture, etc.
         
  • Concurrent List (52 subjects):
    • The Concurrent List has both Parliament and State Legislature powers. Examples from these 52 subjects include:
      • Forest
      • Education
      • Criminal law
      • Marriage or divorce, etc.

The subjects not included in any list are known as "residual power," lying with the union.
 

Administration Relationship:

• The administrative relationship comes into Articles 256-263 of the Indian Constitution. The main articles are given below:
  • Article 256: States are expected to comply with laws of Parliament.
  • Article 257: States cannot impede the executive powers of the union.
  • Article 262: All disputes between the states regarding the use, distribution, or control of water are decided by the center.
     

Financial Relationships:

The states are greatly dependent on the central government for financial support. State governments have independent sources of revenue that are not adequate. The Union government has the power to borrow both within and outside. State borrowing powers have restrictions. This means that the Union government can easily finance loans from the World Bank or IMF, but the state government faces some limitations.