With the transforming scenario between state led development and decentralized institutions at both the national and global levels, followed by introduction of neoliberal agenda in working of public sector enterprises; the country’s democracy, it’s local governance structures, marginalized and deprived sections of the society get the most affected. And, in India, it impacted positively to some dimensions while leaving something for the future. Thus, this paper examines the role of decentralization at grassroots of India for making more of a representative, participative and resilient democracy for mainstreaming of deprived sections of society especially in context of women. Social inequality and inadequate political engagement often impairs not only the mainstreaming of the neglected but also integrity of democracy is hampered. Therefore, political participation of the marginalized by means of capacity building, affirmative action, representative elections and right to vote legitimizes any political system as democratic making decentralization as a potent instrument to overcome the handicaps.