The Panchayat raj is a political system, originating from the Indian subcontinent, found mainly in India, Pakistan, Bangladesh, Sri Lanka, and Nepal. It is the oldest system of local government in the Indian subcontinent, and historical mentions date to the 250 CE period. The word raj means "rule" and panchayat means "assembly" (ayat) of five (panch). Traditionally, Panchayats consisted of wise and respected elders chosen and accepted by the local community. These assemblies settled disputes between both individuals and villages. However, there were varying forms of such assemblies.

The leader of the Panchayat was often called the president mukhiya, sarpanch, or pradhan, an elected or generally acknowledged position. The modern Panchayati Raj of India and its gram panchayats are neither to be confused with the traditional system nor with the extra-constitutional khap panchayats (or caste panchayats) found in parts of northern India.

Mahatma Gandhi advocated panchayat raj as the foundation of India's political system. It would have been a decentralised form of government, where each village would be responsible for its own affairs. The term for such a vision was Gram Swaraj ("village self-governance"). Instead, India developed a highly centralised system of government. However, this has been moderated by the delegation of several administrative functions to the local level, empowering elected gram panchayats. There are significant differences between the traditional Panchayati Raj system, the system envisioned by Gandhi, and the system formalised in India in 1992.