From its establishment in 1950 till it was abolished recently, the Planning Commission stayed and stood tall amid all policy making institutions of the country for 65 years. On 15 August 2014, India’s Prime Minister Narendra Modi declared to replace the Planning Commission by a new body. On January 1, 2015, the government by a
Before the demise of planning commission, India followed a soviet model of five year plans and these plans were implemented regularly except few disruptions here and there. The key features of planning were as follows: Planning was comprehensive, focusing on economic as well as social parameters and was aimed at inclusive growth and regional balance.
First of all the idea of planned economy was crystallized in 1930s when our national leaders came under the influence of socialist philosophy. India’s Five year plans were very much impressed by the rapid strides achieved by the USSR through five years plans. In 1934, Sir M. Visvesvaraya had published a book titled “Planned Economy
Planning Commission was an advisory body, and so is Niti Ayog. But the key difference between them is that while the former had powers to allocate funds to ministries and states; this function will be now of finance ministry. Niti Ayog is essentially a think tank and a truly advisory body. Other differences are as
Government of India has finally gone ahead with its approach of less government, more governance. The new body is slated to give strategic and technical advice. It will be headed by the PM assisted by a Governing Council of Chief Ministers and Lt. Governors. It is set on the same principles as National Development Council.