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DEVELOPMENT

PLANNING

FIVE YEAR PLANS

Leena Shankaranarayana

INDIAN ECONOMY

WHAT GOODS AND SERVICES SHOULD BE

PRODUCED IN THE COUNTRY?

HOW SHOULD THE GOODS AND SERVICES BE

PRODUCED? SHOULD PRODUCERS USE MORE

HUMAN LABOUR OR MORE CAPITAL (MACHINES)

FOR PRODUCING THINGS?

HOW SHOULD THE GOODS AND SERVICES BE

DISTRIBUTED AMONG PEOPLE?

A POLICY OF MIXED ECONOMY IS FOLLOWED IN

THE COUNTRY.

IN A MIXED ECONOMY, THE PUBLIC SECTOR

ENTERPRISES (GOVERNMENT-OWNED) EXIST

ALONGSIDE THE PRIVATE SECTOR TO ACHIEVE

A SOCIALIST PATTERN OF SOCIETY IN A

WELFARE STATE.

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.

PLANNING IN INDIA

 PLANNING COMMISSION

 ESTABLISHED IN MARCH 1950

 A STATUTORY BODY WITH THE PRIME

MINISTER OF INDIA AS ITS CHAIRMAN

 SET UP TO FORMULATE BASIC

ECONOMIC POLICIES, DRAFT PLANS

AND WATCH ITS PROGRESS AND

IMPLEMENTATION.

 PT. JAWAHARLAL NEHRU WAS THE

FIRST CHAIRMAN OF THE PLANNING

COMMISSION

India's first Prime Minister, Jawaharlal Nehru, establishes a five-year plan for agricultural reform, committing India to a socialist path to development.

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

CMs 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.

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

FIVE YEAR PLANS

THE GOALS OF THE FIVE YEAR

PLANS ARE:

 GROWTH

 MODERNISATION

 SELF-RELIANCE

 AND EQUITY.

PRASANTA CHANDRA MAHALANOBIS :

THE ARCHITECT OF INDIAN PLANNING

FIRST FIVE YEAR PLAN (1951-56)

 IN JULY 1951, THE PLANNING COMMISSION

ISSUED THE DRAFT OUTLINE OF THE FIRST

FIVE YEAR PLAN FOR THE PERIOD APRIL 1951

TO MARCH 1956. IT WAS PRESENTED TO THE

PARLIAMENT IN DECEMBER 1952.

 IN THE FIRST PLAN, AGRICULTURE RECEIVED

THE MAIN THRUST, FOR SUSTAINING OF

GROWTH AND DEVELOPMENT OF INDUSTRIES

WHICH WOULD NOT BE POSSIBLE WITHOUT A

SIGNIFICANT RISE IN THE YIELD OF RAW

MATERIALS AND FOOD.

FIRST FIVE YEAR PLAN (1951-56)

OBJECTIVES:

I) TO INCREASE FOOD PRODUCTION.

II) TO FULLY UTILISE AVAILABLE RAW

MATERIALS.

III) TO CHECK INFLATIONARY

PRESSURE.

OUTLAY: THE TOTAL PROPOSED

OUTLAY WAS RS. 3,870 CRORE.

IT WAS MORE THAN A SUCCESS,

BECAUSE OF GOOD HARVESTS IN THE

LAST TWO YEARS.

SECOND FIVE YEAR PLAN (1956-61)

 ALSO CALLED MAHALANOBIS PLAN AFTER ITS

CHIEF-ARCHITECT.

THE MAIN OBJECTIVE WAS TO LAUNCH

INDUSTRIALISATION AND STRENGTHEN THE

INDUSTRIAL BASE OF THE ECONOMY.

IT WAS IN THIS LIGHT THAT THE 1948 INDUSTRIAL

POLICY RESOLUTION WAS REVISED AND A NEW

RESOLUTION OF 1956 WAS ADOPTED.

THE SECOND PLAN STARTED WITH AN EMPHASIS ON

THE EXPANSION OF THE PUBLIC SECTOR AND AIMED

AT THE ESTABLISHMENT OF A SOCIALISTIC PATTERN

OF SOCIETY.

SECOND FIVE YEAR PLAN (1956-61)

OBJECTIVES:

I) A SIZEABLE INCREASE IN NATIONAL INCOME SO

AS TO RAISE THE LEVEL OF LIVING.

II) RAPID INDUSTRIALISATION OF THE COUNTRY

WITH PARTICULAR EMPHASIS ON THE

DEVELOPMENT OF BASIC AND KEY INDUSTRIES.

OUTLAY: THE SECOND PLAN PROPOSED A TOTAL

PUBLIC SECTOR OUTLAY OF RS. 4,800 CRORES

THOUGH ACTUAL OUTLAY WAS ONLY RS. 4,672

CRORE.

ADVOCATED HUGE IMPORTS WHICH LED TO

EMPTYING OF FUNDS LEADING TO FOREIGN LOANS.

IT SHIFTED BASIC EMPHASIS FROM AGRICULTURE TO

INDUSTRY FAR TOO SOON. DURING THIS PLAN, PRICE

LEVEL INCREASED BY 30%, AGAINST A DECLINE OF

13% DURING THE FIRST PLAN.

THIRD FIVE YEAR PLAN (1961-66)

 IN THE THIRD PLAN, THE EMPHASIS

WAS ON LONG-TERM DEVELOPMENT.

 THE THIRD PLAN REPORT STATED

THAT DURING THE FIVE-YEAR PERIOD

CONCERNED, THE INDIAN ECONOMY

"MUST NOT ONLY EXPAND RAPIDLY

BUT, AT THE SAME TIME, BECOME

SELF-RELIANT AND SELF-

GENERATING."

THIRD FIVE YEAR PLAN (1961-66)

 OBJECTIVES:

 I) AN INCREASE IN NATIONAL INCOME OF MORE THAN 5 PER

CENT ANNUALLY. THE INVESTMENT PATTERN LAID DOWN MUST

BE CAPABLE OF SUSTAINING THIS GROWTH RATE IN THE

SUBSEQUENT YEARS.

 II) AN INCREASE IN THE AGRICULTURAL PRODUCE AND TO

ACHIEVE SELF SUFFICIENCY BY INCREASING FOOD GRAIN

PRODUCTION.

 III) GREATER EQUALITY OF OPPORTUNITIES, MORE EVEN

DISTRIBUTION OF ECONOMIC POWER AND REDUCING WEALTH

AND INCOME DISPARITIES.

ALSO, IT WAS REALIZED FROM THE EXPERIENCE OF FIRST TWO

PLANS THAT AGRICULTURE SHOULD BE GIVEN THE TOP

PRIORITY TO SUFFICE THE REQUIREMENT OF EXPORT AND

INDUSTRY.

COMPLETE FAILURE DUE TO UNFORESEEN MISFORTUNES, VIZ.

CHINESE AGGRESSION (1962), INDO-PAK WAR (1965), SEVEREST

DROUGHT IN 100 YEARS (1965-66).

THREE ANNUAL PLANS (1966-69)

PLAN HOLIDAY FOR 3YEARS.

THE PREVAILING CRISIS IN AGRICULTURE AND

SERIOUS FOOD SHORTAGE NECESSITATED THE

EMPHASIS ON AGRICULTURE DURING THE ANNUAL

PLANS.

DURING THESE PLANS A WHOLE NEW

AGRICULTURAL STRATEGY INVOLVING WIDE-

SPREAD DISTRIBUTION OF HIGH-YIELDING

VARIETIES OF SEEDS, THE EXTENSIVE USE OF

FERTILIZERS, EXPLOITATION OF IRRIGATION

POTENTIAL AND SOIL CONSERVATION WAS PUT

INTO ACTION TO TIDE-OVER THE CRISIS IN

AGRICULTURAL PRODUCTION.

DURING THE ANNUAL PLANS, THE ECONOMY

BASICALLY ABSORBED THE SHOCKS GIVEN

DURING THE THIRD PLAN, MAKING WAY FOR A

PLANNED GROWTH.

FOURTH FIVE YEAR PLAN (1969-74)

AFTER THE ‘PLAN HOLIDAY', THE FOURTH PLAN

WAS BEGUN IN 1969.

OBJECTIVES:

I) TO ACHIEVE STABILITY AND PROGRESS

TOWARDS SELF-RELIANCE.

II) TO ACHIEVE AN OVERALL RATE OF GROWTH

OF 5.7 PER CENT ANNUALLY.

III) TO RAISE EXPORTS AT THE RATE OF 7 PER

CENT ANNUALLY.

OUTLAY: THE TOTAL PROPOSED OUTLAY WAS

RS. 24,880 CRORE, WHICH INCLUDED RS. 15,900

CRORES AS PUBLIC SECTOR OUTLAY AND RS.

8,980 CRORE AS PRIVATE SECTOR OUTLAY.

FOURTH FIVE YEAR PLAN (1969-74)

MAIN EMPHASIS ON AGRICULTURE'S

GROWTH RATE SO THAT A CHAIN

REACTION CAN START.

FARED WELL IN THE FIRST TWO YEARS

WITH RECORD PRODUCTION, LAST

THREE YEARS FAILURE BECAUSE OF

POOR MONSOON.

HAD TO TACKLE THE INFLUX OF

BANGLADESHI REFUGEES BEFORE

AND AFTER 1971 INDO-PAK WAR.

FIFTH FIVE YEAR PLAN (1974-79)

 THE PLAN WAS FORMULATED AGAINST THE

BACKGROUND OF SEVERE INFLATIONARY PRESSURE.

 THE FIFTH PLAN PREPARED AND LAUNCHED BY D.D.

DHAR PROPOSED TO ACHIEVE TWO MAIN OBJECTIVES

VIZ, 'REMOVAL OF POVERTY' (GARIBI HATAO) AND

'ATTAINMENT OF SELF RELIANCE', THROUGH PROMOTION

OF HIGH RATE OF GROWTH, BETTER DISTRIBUTION OF

INCOME AND A VERY SIGNIFICANT GROWTH IN THE

DOMESTIC RATE OF SAVINGS.

 OBJECTIVES: IN ADDITION TO REMOVAL OF POVERTY

AND ATTAINMENT OF SELF-RELIANCE, THE FIFTH PLAN

HAD THE FOLLOWING MAJOR OBJECTIVES.

 I) 5.5 PER CENT OVERALL RATE OF GROWTH IN GROSS

DOMESTIC OBJECTIVES.

FIFTH FIVE YEAR PLAN (1974-79)

II) EXPANSION OF PRODUCTIVE EMPLOYMENT

AND FULLER UTILISATION OF EXISTING SKILLS

AND EQUIPMENT.

III) A NATIONAL PROGRAMME FOR MINIMUM

NEEDS AND EXTENDED PROGRAMMES OF

SOCIAL WELFARE.

 OUTLAY: A TOTAL OUTLAY OF RS. 53,410 CRORE

WAS PROPOSED FOR THE FIFTH PLAN.

THE PLAN WAS TERMINATED IN 1978 (INSTEAD OF

1979) WHEN JANTA GOVT.CAME TO POWER.

SIXTH FIVE YEAR PLAN (1980-85)

THE DRAFT OF THE SIXTH FIVE YEAR PLAN (1978-

1983) WAS PRESENTED IN 1978. HOWEVER, THE

PLAN WAS TERMINATED WITH THE CHANGE OF

GOVERNMENT IN JANUARY 1980. THE NEW SIXTH

FIVE YEAR PLAN WAS IMPLEMENTED IN APRIL 1980.

OBJECTIVES:

 I) TO ELIMINATE UNEMPLOYMENT AND

UNDEREMPLOYMENT.

 II) TO RAISE THE STANDARD OF LIVING OF THE

POOREST OF MASSES.

 III) TO REDUCE DISPARITIES IN INCOME AND

WEALTH.

OUTLAY: THE PROPOSED OUTLAY FOR THE SIXTH

PLAN TOTALLED RS. 1,58,710 CRORE.

SEVENTH FIVE YEAR PLAN (1985-90)

 THE DRAFT OF THE SEVENTH PLAN WAS APPROVED ON

NOVEMBER 9, 1985 BY THE NATIONAL DEVELOPMENT

COUNCIL. THE PLAN WAS PART OF THE LONG-TERM

PLAN FOR THE PERIOD OF 15 YEARS.

 OBJECTIVES:

 I) DECENTRALISATION OF PLANNING AND FULL

PUBLIC PARTICIPATION IN DEVELOPMENT.

II) THE MAXIMUM POSSIBLE GENERATION OF

PRODUCTIVE EMPLOYMENT.

III) REMOVAL OF POVERTY AND REDUCTION IN

INCOME DISPARITIES.

IT WAS A GREAT SUCCESS, THE ECONOMY RECORDED

6% GROWTH RATE AGAINST THE TARGETED 5%.

EIGHTH FIVE YEAR PLAN (1992-97)

 THE EIGHTH PLAN WAS POSTPONED BY TWO YEARS

BECAUSE OF POLITICAL UPHEAVALS AT THE CENTRE

AND IT WAS LAUNCHED AFTER A WORSENING BALANCE

OF PAYMENT POSITION AND INFLATION DURING 1990-91.

 THE EIGHTH PLAN PROPOSED A GROWTH RATE OF 5.6

PER CENT PER ANNUM ON AN AVERAGE DURING THE

PLAN PERIOD.

 THE EIGHTH PLAN FOCUSED ON CLEAR PRIORITISATION

OF SECTORS/PROJECTS FOR INVESTMENT IN ORDER TO

FACILITATE IMPLEMENTATION OF THE POLICY

INITIATIVES TAKEN IN THE AREAS OF FISCAL, TRADE

AND INDUSTRIAL SECTORS AND HUMAN DEVELOPMENT.

EIGHTH FIVE YEAR PLAN (1992-97)

 OBJECTIVES:

 I) GENERATION OF ADEQUATE EMPLOYMENT TO

ACHIEVE NEAR FULL EMPLOYMENT LEVEL BY THE

TURN OF THE CENTURY.

 II) CONTAINMENT OF POPULATION GROWTH

THROUGH PEOPLE'S ACTIVE CO-OPERATION AND

AN EFFECTIVE SCHEME OF INCENTIVES AND

DISINCENTIVES.

 III) UNIVERSALISATION OF ELEMENTARY

EDUCATION AND COMPLETE ERADICATION OF

ILLITERACY AMONG THE PEOPLE IN THE AGE

GROUP OF 15 TO 35 YEARS.

EIGHTH FIVE YEAR PLAN (1992-97)

 SOME OF THE MAIN ECONOMIC

PERFORMANCES DURING EIGHTH

PLAN PERIOD WERE RAPID ECONOMIC

GROWTH, HIGH GROWTH OF

AGRICULTURE AND ALLIED SECTOR,

AND MANUFACTURING SECTOR,

GROWTH IN EXPORTS AND IMPORTS,

IMPROVEMENT IN TRADE AND

CURRENT ACCOUNT DEFICIT.

NINTH FIVE-YEAR PLAN (1997-2002)

 IT BEGAN ON APRIL 1, 1997. THE NINTH

PLAN WAS THE FIRST CONCRETE

ATTEMPT TO TRANSLATE THE

PROGRAMME OF ECONOMIC REFORMS

AND THE NEW ECONOMIC POLICY

WITHIN THE FRAMEWORK OF AN

INDICATIVE PLAN.

 THE APPROACH PAPER TO THE NINTH

PLAN (1997-2002) WAS APPROVED BY

THE N.D.C. ON 16TH JANUARY, 1997.

NINTH FIVE-YEAR PLAN (1997-

2002)

 OBJECTIVES:

 I.) PRIORITY TO AGRICULTURE AND RURAL DEVELOPMENT

II.) ACCELERATING GROWTH RATE OF ECONOMY

III.) FOOD AND NUTRITIONAL SECURITY FOR ALL

IV.) CONTAINING GROWTH RATE OF POPULATION

V.) EMPOWERMENT OF WOMEN AND SOCIALLY

DISADVANTAGED GROUPS SUCH AS SC/ST, BACKWARD

CLASSES AND MINORITIES.

VI.) PROMOTING AND DEVELOPING PARTICIPATORY

INSTITUTIONS LIKE "PANCHAYATI RAJ" INSTITUTIONS, CO-

OPERATIVES AND SELF-HELP GROUPS.

TENTH FIVE YEAR PLAN (2002-

07)

 ON DECEMBER 21, 2002, THE TENTH FIVE YEAR PLAN WAS

APPROVED BY THE NDC. THE PLAN FURTHER DEVELOPED

THE NDC MANDATED OBJECTIVES, OF DOUBLING PER

CAPITA INCOME IN 10 YEARS, AND ACHIEVING A GROWTH

RATE OF 8% OF GDP PER ANNUM. THE PLAN HAD A NUMBER

OF NEW FEATURES, SUCH AS, FOR THE FIRST TIME

 (A) IT RECOGNISED THE RAPID GROWTH OF LABOUR

FORCE OVER THE NEXT DECADE

 (B) ADDRESSED THE ISSUE OF POVERTY AND THE

UNACCEPTABLY LOW LEVELS OF SOCIAL INDICATORS

TENTH FIVE YEAR PLAN

(2002-07)

(C) ADOPTED A "DIFFERENTIAL DEVELOPMENT

STRATEGY" TO EQUATE NATIONAL TARGETS INTO

BALANCED REGIONAL DEVELOPMENT AS THERE IS

VAST DIFFERENCE IN THE POTENTIALS AND

CONSTRAINTS OF EACH STATE

(D) RECOGNISED THAT THE GOVERNANCE IS

PERHAPS ONE OF THE MOST IMPORTANT FACTORS

FOR ENSURING REALISATION OF THE PLAN

(E) IDENTIFIED MEASURES TO IMPROVE EFFICIENCY,

UNLEASH ENTREPRENEURIAL ENERGY, AND

PROMOTE RAPID AND SUSTAINABLE GROWTH

(F) PROPOSED MAJOR REFORMS FOR

AGRICULTURAL SECTOR MAKING 'AGRICULTURE'

THE CORE ELEMENT OF THE PLAN.

TENTH FIVE YEAR PLAN

(2002-07)

 SINCE ECONOMIC GROWTH IS NOT THE ONLY

OBJECTIVE, THE PLAN AIMS AT HARNESSING

THE BENEFITS OF GROWTH TO IMPROVE THE

QUALITY OF LIFE OF THE PEOPLE BY SETTING

THE FOLLOWING KEY TARGETS:

 1. ALL CHILDREN TO BE IN SCHOOL BY

2003 AND ALL CHILDREN TO COMPLETE

FIVE YEARS OF SCHOOLING BY 2007

2.

REDUCTION IN POVERTY RATIO

FROM 26% TO 21%

3. GROWTH IN GAINFUL EMPLOYMENT

TO, AT LEAST, KEEP PACE WITH

ADDITION TO THE LABOUR FORCE

 4. DECADAL POPULATION GROWTH TO

REDUCE FROM 21.3% IN 1991-2001 TO

16.2% BY 2001-11

TENTH FIVE YEAR PLAN

(2002-07)

5. REDUCING GENDER GAPS IN LITERACY AND

WAGE RATES BY 50%

6. LITERACY RATE TO INCREASE FROM 65% IN

1999-2000 TO 75% IN 2001

7. INFANT MORTALITY RATE (IMR) TO BE

REDUCED FROM 72 IN 1999-2000, TO 45 IN 2007

8. .MATERNAL MORTALITY RATE (MMR) TO BE

REDUCED FROM 4 PER 1000 IN 1999-2000 TO 2

PER 1000 IN 2007

9. PROVIDING PORTABLE DRINKING WATER IN

ALL VILLAGES

10. CLEANING OF MAJOR POLLUTED RIVER

STRETCHES

11. INCREASE IN FOREST/TREE COVER FROM

19% IN 1999-2000 TO 25% IN 2007

ELEVENTH PLAN (2007-

2012)

THE UNITED PROGRESSIVE ALLIANCE

GOVERNMENT ISSUED A PAPER IN THE

ELEVENTH PLAN TITLED "TOWARDS FASTER

AND MORE INCLUSIVE GROWTH." ACCORDING

TO THE APPROACH PAPER, THE MONITORABLE

TARGETS OF FIVE-YEAR PLAN ARE:

1. GDP GROWTH RATE TO BE INCREASED TO

10% BY THE END OF THE PLAN;

2. FARM SECTOR GROWTH TO BE INCREASED

TO 4%;

3.

CREATION OF SEVEN CRORE JOB

OPPORTUNITIES;

4. REDUCE EDUCATED UNEMPLOYED YOUTH TO

BELOW 5 PERCENT

ELEVENTH PLAN (2007-

2012)

5. INFANT MORTALITY RATES TO BE REDUCED

TO 28 PER 1000 BIRTHS;

6. MATERNAL DEATH RATES TO BE REDUCED

TO 1 PER 1000 BIRTHS;

7. CLEAN DRINKING WATER TO ALL BY 2009;

8. IMPROVE SEX RATIO TO 935 BY 2011-12 AND

TO 950 BY 2016-17;

9. ENSURE ELECTRICITY CONNECTION TO ALL

VILLAGES AND BROADBAND OVER POWER

LINES (BPL) HOUSEHOLDS BY 2009

ELEVENTH PLAN (2007-

2012)

10. ROADS TO ALL VILLAGES THAT HAVE A

POPULATION OF 1000 AND ABOVE BY 2009;

11. INCREASE FOREST AND TREE COVER BY 5%;

12.

ACHIEVE THE WORLD HEALTH

ORGANIZATION STANDARD AIR QUALITY IN

MAJOR CITIES BY 2011-12;

13. TREAT ALL URBAN WASTEWATER BY 2011-12

TO CLEAN RIVER WATERS;

14.

INCREASE ENERGY EFFICIENCY BY 20

PERCENT BY 2016-17

Plan

First Plan 1951-56

Second Plan 1956-61

Third Plan 1961-66

Fourth Plan 1969-74

Fifth Plan 1974-79

Sixth Plan 1980-85

Seventh

Plan

1985-90

Eighth Plan 1992-97

Ninth Plan 1997-02

Tenth Plan 2002-07

Eleventh 2007-12

REAL GROWTH IN INDIA – FIRST PLAN TO ELEVENTH PLAN

Real Income

Sectoral Growth Rate

Growth

Period Plan Actual

Target

2.1

4.5

5.6

5.7

4.4

5.2

Growth

3.5

4.2

2.8

3.2

4.7

5.5

Agriculture

2.9

3.2

-0.5

2.6

3.4

5.5

Industr y

5.9

6.4

6.8

3.7

6.3

6.2

Services

3.7

4.6

5

4

5.5

5.4

5

5.6

6.5

7.9

9

5.6

6.5

5.5

7.7

7.8$

3.4

3.9

2

2.3

4

7.5

8

4.6

9.2

NA

7.4

7.9

8.1

9.3

NA

Growth during Five Year Plans

10.00%

8.00%

6.00%

4.00%

2.00%

0.00%

Growth during Five Year Plans

1 2 3 4 5 6 7 8 9 10 11

Five Year Plan

Target Actual

SECTORAL GROWTH RATE

Sectoral Growth Rate

10

5

0

-5

1 2 3 4 5 6 7 8 9 10

Agriculture 2.9 3.2 -1 2.6 3.4 5.5 3.4 3.9

2 2.3

Industry 5.9 6.4 6.8 3.7 6.3 6.2 7.5

8 4.6 9.2

Services 3.7 4.6

5 4 5.5 5.4 7.4 7.9 8.1 9.3

Five Year Plans

Agriculture Industry Services

Plan Outlay in Public Sector in India

(1951-1952 to 2008-2009)

Year

First Plan

Second Plan

Third Plan

Fourth Plan

Fifth Plan

Sixth Plan

Seventh Plan

Eighth Plan

Ninth Plan

Tenth Plan

Plan Outlay

1960

4672

8576.5

15778.8

39426.2

110467.3

218729.6

485457.24

813997.9

1119552

PLAN OUTLAY

Plan Outlay

1200000

1000000

800000

600000

400000

200000

0

1 2 3 4 5 6 7 8 9 10

Five Year Plans

Plan Outlay

SECTORAL OUTLAYS DURING THE PLAN

Sectoral Outlays during the Plans (Rs. Crore)

(First Plan to Eleventh Plan)

Agriculture &

Irrigation

Power Industry

Transport &

Communi cations

Social

Services

Total

First

Plan

Second

Plan

Third

Plan

Fourth

Plan

Fifth

Plan

Sixth

Plan

1951-56

1956-61

1961-66

1969-74

1974-79

600 (31)

950 (20)

1750 (21)

3810 (24)

8740 (22)

1980-85 26130 (24)

Seventh

Plan

1985-90 48100 (22)

Eighth

Plan

1992-97 101150 (21)

260 (13)

440 (10) 1080 (24)

1250

(14)

2450

(15)

7400

(19)

30750

(28)

120 (6)

1970 (23)

3630 (23)

9580 (26)

520 (27)

1300 (28)

2120 (25)

3240 (20)

6870 (18)

16950 (16) 17680 (16)

61690

(28)

29220 (13) 41000 (19)

460 (22)

830 (18)

1490 (17)

2770 (18)

6840 (17)

17780 (16)

38720 (18)

128900

(27)

47890 (10) 101550 (21) 105570 (22)

1960 (100)

4600 (100)

8580 (100)

15900

(100)

39430

(100)

109290

(100)

218730

(100)

485460

(100)

Period

First Plan (1951-56)

Second Plan (1956-61)

Third Plan (1961-66)

Annual Plans (1966-69)

Fourth Plan (1969-74)

Fifth Plan (1974-78)

Annual Plans (1978-80)

Sixth Plan (1980-85)

Seventh Plan (1985-

90)

Annual Plan (1990-91)

Annual Plan (1991-92)

Eighth Plan (1992-97)

(Anticipated)

Ninth Plan (1997-02)

Outlay

Annual Plan (1997-98)

Actual

Annual Plan (1998-99)

(Anticipated)

Annual Plan (1999-

2000)

Major &

Mediu m

2154.6

1950.7

2366.5

1246.9

2875.7

3647.7

2653.0

6401.0

7003.3

1319.4

1243.5

7330.8

11944.8

1719.

3

1974.

7

406.7

371.7

2107.

8

2605.

3

State

375.7

730.0

1339.

8

932.1

1171.

8

909.7

633.3

Institutional

0.0

99.6

474.1

680.9

1530.3

1158.0

613.1

1813.9

1613.0

2702.1

2067.7

1246.4

1248.8

2968.0

1930.0

338.3

296.8

1435.0

739.3

Total

375.7

829.4

3904.7

745.0

668.5

3542.8

3344.6

2102.0

416.9

2446.5

471.1

3121.9

553.1

125.6

157.1

181.8

542.5

628.3

734.9

Plan-wise Financial Expenditure on Irrigation in India

(At Constant Prices 1980-81=100) (First Plan to 1999-2000)

Minor

Command Area

DeveMajor & Medium, Minor and CAD lopment

0.0

0.0

0.0

0.0

Total

2530.4

2780.1

4181.3

2859.9

0.0

214.0

274.8

5577.8

5929.4

4174.1

645.5

10014.5

912.7

143.0

147.0

11820.7

2207.4

2059.0

655.6

11529.2

Cumulative

2530.7

5310.8

9491.1

12351.0

17928.8

23858.2

28032.3

38046.8

49867.5

52074.9

54133.9

65663.1

804.1

16093.6

120.3

125.6

125.1

2764.8

3200.3

3982

81756.7

68427.9

71628.3

75610.2

Average Per

Year

506.1

556.0

836.1

953.3

1115.6

1482.4

2087.0

2002.9

2364.1

2207.4

2059.0

2305.8

3218.7

2764.8

3200.3

3982

Total Plan Expenditure in All Sectors

(Rs. in Crore)

Perce

-ntage of

Expe nd.

On

Irrig atio n to

Tota l

11225.7

23983.6

35238.3

19219.6

36525.5

41538.1

29291.6

94937.5

137913.0

29228.3

28512.1

164231.6

238900.6

36078.9

@21972.8

43419.9

9

8

7

7

15

14

14

11

23

12

12

15

15

9

7

8

Plan-wise Investment on Water Supply and Sanitation Sector in India

(1951-1956 to 2002-2007)

(Rs. in Crore)

Plan Period

I Plan (1951-56)

II Plan (1956-61)

III Plan (1961-66)

3 Annual Plans (1966-69)

IV Plan (1969-74)

V Plan (1974-79)

Annual Plan (1979-80)

VI Plan (1980-85)

VII Plan (1985-90)

2 Annual Plans (1990-92)

VIII Plan (1992-97)

IX Plan (1997-02)

X Plan (2002-07)

3.43

4.15

3.62

3.23

3.85

4.46

2.89

% of

Public

Sector

Outlay

1.48

1.07

1.23

1.6

2.75

2.62

% of Public

Sector

Outlay

1.28

0.65

1.04

N.A

1.77

1.4

1.58

1.81

1.65

1.26

1.38

2.16

1.3

% of Public

Sector Outlay

0.18

0.41

0.19

N.A

0.97

1.22

1.85

2.34

1.98

1.97

2.47

2.43

1.8

Budgetary Allocations for Education by Centre/States and its Percentage of

GDP in India

Budgetary Allocations for Education by Centre/States and its Percentage of Gross Domestic Product (GDP) in India

(1991-1992 to 2005-2006)

Budgetary Allocation on Education by

Education and Other Deptt.

(Centre + States/Uts)

Year

1991-1992

1992-1993

(Rs. in Crore)

22393.69

25030.3

Allocation for Education as

Percentage of GDP

3.8

3.72

1993-1994

1994-1995

1995-1996

1996-1997

1997-1998

1998-1999

1999-2000

2000-2001

2001-2002

2002-2003

2003-2004

2004-2005

2005-2006

28279.69

32606.22

38178.09

43896.48

48552.14

61578.91

74816.09

82486.48

79865.7

85507.34

89079.25

104566.00 (RE)

119029.88 (BE)

3.85

4.17

4.27

3.81

3.79

3.5

3.68

3.72

3.62

3.56

3.56

3.53

3.49

Average for Plan

Period

First Plan (1951-56)

Second Plan (1956-61)

Third Plan (1961-66)

Annual Plans (1966-69)

Fourth Plan (1969-74)

Fifth Plan (1974-78#)

Annual Plans (1978-80)

Sixth Plan (1980-85)

Seventh Plan (1985-90)

Annual Plan (1990-92)

Eighth Plan (1992-97*)

Planwise Share of Public and Private Sectors in

Public

Sector

(Rs. million)

3587

8587

15932

21207

32885

69496

108776

177414

356950

Gross Domestic Capital Formation in India

(First Plan to Eighth Plan)

(Plan Period Averages at current prices)

Percentage

Share in Total

Saving

As % of GDP at Market

Private

Sector

(Rs. million)

7229

Total

(Rs. million)

10816

Public

Sector

33.2

Private

Sector

66.8

Prices

Publ ic

Sect or

3.5

Privat e

Secto r

Tota l

7.1

10.7

11667

17558

31739

20254

33490

52947

42.4

47.6

40.1

57.6

52.4

59.9

6.1

7.4

6.3

8.4

14.5

8.1

15.5

9.4

15.7

49919

89694

138944

200004

458250

82804

159190

247720

377418

815200

39.7

43.7

43.9

47

43.8

60.3

56.3

6.8

8.3

56.1

10

53 9.7

56.2

10.3

10.3

17.1

10.8

19.1

12.7

22.7

11 20.7

13.2

23.4

577799

843419

886316

1694157

1464115

2537576

39.5

33.2

60.5

66.8

10

8.6

15.4

17.4

25.4

26

ACHIEVEMENTS OF

PLANNING IN INDIA

INCREASE IN NATIONAL AND PER

CAPITA INCOME

PROGRESS IN AGRICULTURE

 Progress in the use of agricultural inputs

 Increased Agricultural Production

PROGRESS IN INDUSTRY

ACHIEVEMENTS OF

PLANNING IN INDIA (Contd.)

DEVELOPMENT OF ECONOMIC

INFRASTRUCTURE

DIVERSIFICATION OF EXPORTS

AND IMPORT SUBSTITUTION

DEVELOPMENT OF SCIENCE AND

TECHNOLOGY

DEVELOPMENT OF EDUCATIONAL

SYSTEM

FUNDAMENTAL FAILURES

OF PLANNING

FAILURE TO ELIMINATE POVERTY

FAILURE TO PROVIDE

EMPLOYMENT

FAILURE TO REDUCE

INEQUALITIES OF INCOME AND

WEALTH

FAILURE TO CHECK THE GROWTH

OF BLACK MONEY

FUNDAMENTAL FAILURES

OF PLANNING (Contd.)

FAILURE TO REDUCE

CONCENTRATION OF ECONOMIC

POWER

FAILURE TO IMPLEMENT LAND

REFORMS

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