FIVE YEAR PLANS OF INDIA

Group 4
Abdur rahman

Akmal Rais

Mohd Amir Khan

Mohd Khalid Raza Shahbaz Khan Vaishali Agarwal

WHAT IS A PLAN ?

A plan spells out how the resources of a nation should be

put to use.
Some general goals as well as some specific objectives
To be achieved within a specified period of time
In india plans are of five years duration
Our plan documents specify the objectives to be attained
in the five years of a plan
Plan documents also specify what is to be achieved over
a period of twenty years. this long-term plan is called
perspective plan.
The five year plans are supposed to provide the basis for
the perspective plan.

FIVE YEAR PLANS

The development plans are drawn by the planning

commission to establish india's economy on a
socialistic pattern in successive phases of five year
periods-called the five year plans. it consists of:
(I) PLANNING COMMISSION OF INDIA
(II) NATIONAL PLANNING COUNCIL
(III) NATIONAL DEVELOPMENT COUNCIL AND
STATE PLANNING COMMISSIONS

History
The Planning Commission was set up in March 1950.
The main objective of the Government to promote a rapid rise in the
standard of living of the people by

efficient exploitation of the resources of the country

increasing production and

offering opportunities to all for employment in the service of the

community

The Planning Commission was charged with the responsibility of

making assessment of all resources of the country, augmenting
deficient resources, formulating plans for the most effective and
balanced utilisation of resources and determining priorities.
Jawaharlal Nehru was the first Chairman of the Planning Commission.

PLANNING IN INDIA

National planning council

an advisory body attached to the planning
commission
established in 1965.
it includes experts representing a cross-section
of the indian economy.
National development council
established in 1951
C.M.s of the states, together with the members of
the planning commission, constitute the national
development council.
the prime minister of india presides over the
council.

Functions of the Planning Commission

of India

To make an assessment of the resources of the country

and to see which resources are deficient.
To formulate plans for the most effective and balanced
utilization of country's resources.
To indicate the factors which are hampering economic
development.
To determine the machinery, that would be necessary for
the successful implementation of each stage of plan.
Periodical assessment of the progress of the plan.

Functions of the Planning Commission

of India

The commission is seeing to maximize the output with

minimum resources with the changing times.
The Planning Commission has set the goal of
constructing a long term strategic vision for the future.
It sets sectoral targets and provides the catalyst to the
economy to grow in the right direction.
The Planning Commission plays an integrative role in
the development of a holistic approach to the
formulation of policies in critical areas of human and
economic development.

Previous Five Year Plans

Five year plan Period

Target growth rate

of GDP (%)

Achieveme
nt (%)

First plan

1951-56

2.1

3.6

Second plan

1956-61

4.5

4.21

Third plan

1961-66

5.6

2.72

Fourth plan

1969-74

5.7

2.05

Fifth plan

1974-79

4.4

4.83

Five year plan

Period

Target growth rate

of GDP (%)

Achievement
(%)

Sixth plan

1980-85

5.2

5.54

Seventh plan

1985-90

5.0

6.02

Eight plan

1992-97

5.6

6.68

Ninth Plan

1997-02

6.5

5.55

Tenth plan

2002-07

8.0

7.8

Eleventh plan

2007-12

9.0

7.9

Twelfth plan

2012-17

9.0

Assessment of Economic planning in india

1. Increase in National
Income
2. Increase in Per Capita
Income
3. Increase in the Rate of
Capital Formation
4. Development of
Agriculture
5. Industrial Development
6. Infrastructure
Development
7. Generation of
Employment
8. Development of Social
Services
Life Expectancy
Death Rate
Education
Health
9. Self-Reliance

Achievements

Failures

The major failures of economic

planning are as follows:
1. No Substantial Increase in
the Standard of Living
2. Increase in Unemployment
3. Inequality in Distribution of
Income and Wealth
4. More Ambitious
5. Paradox of Saving and
Investment
6. Predominance of Welfare
Considerations
7. Less Growth in Productive
Sector

REAL GROWTH IN INDIA FIRST PLAN TO ELEVENTH P

LAN
Real Income
Growth
Plan

Period

Sectoral Growth Rate

Plan

Actual

Target

Growth

Agriculture

Industr
y

Services

First Plan

1951-56

2.1

3.5

2.9

5.9

3.7

Second Plan

1956-61

4.5

4.2

3.2

6.4

4.6

Third Plan

1961-66

5.6

2.8

-0.5

6.8

Fourth Plan

1969-74

5.7

3.2

2.6

3.7

Fifth Plan

1974-79

4.4

4.7

3.4

6.3

5.5

Sixth Plan

1980-85

5.2

5.5

5.5

6.2

5.4

Seventh
Plan

1985-90

5.6

3.4

7.5

7.4

Eighth Plan

1992-97

5.6

6.5

3.9

7.9

Ninth Plan

1997-02

6.5

5.5

4.6

8.1

Tenth Plan

2002-07

7.9

7.7

2.3

9.2

9.3

Growth during Five Year Plans

12th Five Year Plan

The government on 4th October approved the 12th five year plan (201217) that set average growth target at 8.2 percent.
The theme of the Approach Paper is
Faster, Sustainable and more inclusive growth .

Twelfth Plan Objectives

Basic objective : Faster, More Inclusive, and Sustainable Growth.
Could aim at 9.0 to 9.5 percent
For growth to be more inclusive we need: Better performance in agriculture
Faster creation of jobs, especially in manufacturing
Stronger efforts at health, education and Infrastructure.
Special plans for disadvantaged/backward regions

Strategic Challenges
Based on an intensive process within the Commission, following "Twelve
Strategy Challenges" have been identified
1. Enhancing the Capacity for Growth
2. Enhancing Skills and Faster Generation of Employment
3. Managing the Environment
4. Markets for Efficiency and Inclusion
5. Decentralization, Empowerment and Information
6. Technology and Innovation
7. Securing the Energy Future for India
8.
Accelerated Development of Transport Infrastructure
9.
Rural Transformation and Sustained Growth of Agriculture
10. Managing Urbanization
11. Improved Access to Quality Education
12. Better Preventive and Curative Health Care

Resource Allocation Priorities in 12th

Plan
Health and Education received less than projected in Eleventh Plan.
Allocations for these sectors have increased in 12th Plan
Health, Education and Skill Development together in the Centres Plan
have increased by 1.2 percent point of GDP
Infrastructure, including irrigation and watershed management and
urban infrastructure, will need additional 0.7 percentage point of GDP
over the next 4 years
Use of PPP must be encouraged, including in the social sector, i.e.
health and education. Efforts on this front need to be intensified

References
http://planningcommission.gov.in/plans/planrel/12thplan/pdf/12fyp_vol3.pdf
www1.ximb.ac.in/users/fac/Shambu/Sprasad.nsf/.../LG%206_FYP.
www.slideshare.net/ramusakha/five-year-plans-of-india-20245091
www.slideshare.net/ramusakha/five-year-plans-of-india-20245091