3. Why to plan? Some problems which necessitates for an
immediate plan are as follows: Poverty Low per capita income High
rate of growth of population Low level of literacy Need for rapid
industrialisation
4. Objectives of Planning To increase per capita income and GDP
Higher level of employment Growth with social justice Increasing
industrial output Modernisation Self-reliance
5. Stages in Planning Formulation Adoption Approval Execution
Supervision
6. Quick Glance First Five Year Plan started in 1951, by our
first Prime Minister Pandit Jawaharlal Nehru The ongoing Five Year
Plan is the Twelfth Five Year Plan
7. First Five Year Plan (1951-1956) Led by Pandit Jawaharlal
Nehru, on 8th December, 1951 Plan addressed mainly the agricultural
sector, including investments in dams and irrigation The total
planned budget was Rs. 2069 crores The NDP went up by 15% Many
irrigation projects were initiated during this period
8. Second Five Year Plan (1956-1961) Focussed on heavy
industries and the Public Sector Attempted to determine the optimal
allocation of investment between productive sectors in order to
maximize long-run economic growth Total amount allocated was Rs.
4600 crores
9. Third Five Year Plan (1961-1966) The Third plan stressed on
agriculture and improvement in the production of wheat But the
brief Sino-Indian war of 1962 exposed weaknesses in the economy and
shifted the focus towards the defense industry Many cement and
fertiliser plants were also built Punjab began producing an
abundance of wheat Many primary schools started in rural areas
10. A Sudden Hindrance (1966-1969) In 1965-1966, India fought a
[Indo-Pak] war with Pakistan Due to this war, there was a severe
drought in 1965, in the sense that there was a great
instabilisation and the nation was facing difficulties The war led
to inflation and the priority was shifted to price stabilisation
The construction of dams continued
11. Fourth Five Year Plan (1969-1974) Prime Minister Indira
Gandhi Government nationalised 14 major Indian banks and the Green
Revolution in India advanced agriculture Main emphasis was on
growth rate of agriculture to enable other sectors to move forward
First two year of the plan saw record production The last three
years did not measure up due to poor monsoon Influx of Bangladeshi
refugees before and after 1971 Indo-Pak war was an important
issue
12. Fifth Five Year Plan (1974-1979) Launched by D.D. Dhar Two
main objectives- Garibi Hatao Self-reliance Key instruments-
Promotion of high rate of growth Better distribution of income
Signigicant growth in the domestic rate of savings Rolling Plan
(1978-1980)
13. Sixth Five Year Plan (1980-1985) The main focus was an
increase in:- National income Modernisation of technology Ensuring
continuous decrease in poverty and unemployment Population control
through family planning, etc.
14. Seventh Five Year Plan (1985-1990) The focus was rapid
growth in food-grains production, increased employment
opportunities and productivity within the framework of basic
tenants of planning The plan was very successful, the economy
recorded 6% growth rate against the targetted 5%
15. Eighth Five Year Plan (1992-1997) Was postponed by two
years Drastic policy measures led to an annual coverage growth of
5.6% Some of the main economic outcomes were rapid economic growth,
high growth of agriculture and allied sector, and manufacturing
sector, growth in exports and imports, improvement in trade and
(then) current account deficit
16. Ninth Five Year Plan (1997-2002) Developed in the context
of four important dimensions.:- Quality of life Generation of
productive employment Regional balance Self-reliance Other aims To
ensure food and nutritional security To check the growing
population increase To stabilise prices in order to accelerate the
growth rate of economy To create a liberal market for increase in
private investments, etc
17. Tenth Five Year Plan (2002-2007) Developed to achieve the
following:- Attain 8% GDP growth per year (achieved 7.7%) Reduction
of Poverty Ratio by 5% by 2007 Providing gaingul and higher quality
employment at least to the addition to the labour force Reduction
in gender gaps in literacy and wage rates by at least 50% by
2007
18. Eleventh Five Year Plan (2007-2012) Focussed on achieving
the following aims:- Poverty Reduction Emphasis on Social Sector
Reduction of gender inequality Environmental sustainabillity
Increase growth rate in agriculture, industry and services Clean
drinking water
19. Statistics Plan Target Actual First Plan 2.9% 3.6% Second
Plan 4.5% 4.3% Third Plan 5.6% 2.8% Fourth Plan 5.7% 3.3% Fifth
Plan 4.4% 4.8% Sixth Plan 5.2% 6.0% Seventh Plan 5.0% 6.0% Eighth
Plan 5.6% 6.8% Ninth Plan 6.5% 5.4% Tenth Plan 8.0% 7.8% Eleventh
Plan 9.0% 8.0%
20. Twelfth Five Year Plan (2012-2017) The Twelfth Five Year
Plan, noticing the deterioting global situation, has set a target
of average GDP increase of 8% The plan will try to achieve
improvements in all the previous topics, along with a special care
for elimination of poverty
21. Factors for effectiveness of a Five Year Plan Collection of
statistical data Economic organisation Government setup Public
cooperation Conclusions
22. Conclusions We learnt that:- Economic planning helps in
mobilizing and allocating the resources in desired manner Objective
of economic planning is to reduce inequality, economic growth,
balanced regional growth, modernisation Each Five Year Plan aims at
achieving certain targets. Give year plan constitute the steps
toward the fulfillment of objectives of economic planning