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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
SELFGENERATING."
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 WIDESPREAD
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 (19781983) 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 (19972002)

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, COOPERATIVES AND SELF-HELP GROUPS.
TENTH FIVE YEAR PLAN (200207)

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 (20072012)





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 (20072012)





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 (20072012)





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
REAL GROWTH IN INDIA – FIRST PLAN TO ELEVENTH PLAN
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
5
Fourth Plan
1969-74
5.7
3.2
2.6
3.7
4
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
5.6
3.4
7.5
7.4
Eighth Plan
1992-97
5.6
6.5
3.9
8
7.9
Ninth Plan
1997-02
6.5
5.5
2
4.6
8.1
Tenth Plan
2002-07
7.9
7.7
2.3
9.2
9.3
Eleventh
2007-12
9
7.8$
4
NA
NA
Growth during Five Year Plans
Growth during Five Year Plans
10.00%
Growth Rate
8.00%
6.00%
4.00%
2.00%
0.00%
1
2
3
4
5
6
7
8
Five Year Plan
Target
Actual
9
10 11
SECTORAL GROWTH RATE
Sectoral Growth Rate
Growth Rate
10
5
0
-5
1
2
3
4
5
6
7
8
Agriculture 2.9 3.2 -1 2.6 3.4 5.5 3.4 3.9
Industry
5.9 6.4 6.8 3.7 6.3 6.2 7.5
Services
3.7 4.6
5
4
8
9
10
2
2.3
4.6 9.2
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
Plan Outlay
First Plan
1960
Second Plan
4672
Third Plan
8576.5
Fourth Plan
15778.8
Fifth Plan
39426.2
Sixth Plan
110467.3
Seventh Plan
218729.6
Eighth Plan
485457.24
Ninth Plan
813997.9
Tenth Plan
1119552
PLAN OUTLAY
Outlay (Rs.
Crore)
Plan Outlay
1200000
1000000
800000
600000
400000
200000
0
1
2
3
4
5
6
7
Five Year Plans
Plan Outlay
8
9
10
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
1951-56
600 (31)
260 (13)
120 (6)
520 (27)
460 (22)
1960 (100)
Second
Plan
1956-61
950 (20)
440 (10)
1080 (24)
1300 (28)
830 (18)
4600 (100)
Third
Plan
1961-66
1750 (21)
1250
(14)
1970 (23)
2120 (25)
1490 (17)
8580 (100)
Fourth
Plan
1969-74
3810 (24)
2450
(15)
3630 (23)
3240 (20)
2770 (18)
15900
(100)
Fifth
Plan
1974-79
8740 (22)
7400
(19)
9580 (26)
6870 (18)
6840 (17)
39430
(100)
Sixth
Plan
1980-85
26130 (24)
30750
(28)
16950 (16)
17680 (16)
17780 (16)
109290
(100)
Seventh
Plan
1985-90
48100 (22)
61690
(28)
29220 (13)
41000 (19)
38720 (18)
218730
(100)
Eighth
Plan
1992-97
101150 (21)
128900
(27)
47890 (10)
101550 (21)
105570 (22)
485460
(100)
Plan-wise Financial Expenditure on Irrigation in India
(At Constant Prices 1980-81=100) (First Plan to 1999-2000)
(Rs. in Crore)
Command Area
Deve-
Minor
Institu-
Major & Medium, Minor and CAD
lopment
Major &
Mediu
m
State
tional
Total
First Plan (1951-56)
2154.6
375.7
0.0
375.7
Second Plan (1956-61)
1950.7
730.0
99.6
Third Plan (1961-66)
2366.5
1339.
8
Annual Plans (1966-69)
1246.9
932.1
Fourth Plan (1969-74)
2875.7
Fifth Plan (1974-78)
Cumu-
Total Plan Expen-
Perce
diture in All Sectors
-ntage of
Expe
nd.
On
Irrig
atio
n to
Tota
l
Total
lative
Average Per
Year
0.0
2530.4
2530.7
506.1
11225.7
23
829.4
0.0
2780.1
5310.8
556.0
23983.6
12
474.1
1813.9
0.0
4181.3
9491.1
836.1
35238.3
12
680.9
1613.0
0.0
2859.9
12351.0
953.3
19219.6
15
1171.
8
1530.3
2702.1
0.0
5577.8
17928.8
1115.6
36525.5
15
3647.7
909.7
1158.0
2067.7
214.0
5929.4
23858.2
1482.4
41538.1
14
Annual Plans (1978-80)
2653.0
633.3
613.1
1246.4
274.8
4174.1
28032.3
2087.0
29291.6
14
Sixth Plan (1980-85)
6401.0
1719.
3
1248.8
2968.0
645.5
10014.5
38046.8
2002.9
94937.5
11
Seventh Plan (198590)
7003.3
1974.
7
1930.0
3904.7
912.7
11820.7
49867.5
2364.1
137913.0
9
Annual Plan (1990-91)
1319.4
406.7
338.3
745.0
143.0
2207.4
52074.9
2207.4
29228.3
8
Annual Plan (1991-92)
1243.5
371.7
296.8
668.5
147.0
2059.0
54133.9
2059.0
28512.1
7
Eighth Plan (1992-97)
(Anticipated)
7330.8
2107.
8
1435.0
3542.8
655.6
11529.2
65663.1
2305.8
164231.6
7
11944.8
2605.
3
739.3
3344.6
804.1
16093.6
81756.7
3218.7
238900.6
7
Period
Ninth Plan (1997-02)
Outlay
Annual Plan (1997-98)
Actual
2102.0
416.9
125.6
542.5
120.3
2764.8
68427.9
2764.8
36078.9
8
Annual Plan (1998-99)
(Anticipated)
2446.5
471.1
157.1
628.3
125.6
3200.3
71628.3
3200.3
@21972.8
15
Annual Plan (19992000)
3121.9
553.1
181.8
734.9
125.1
3982
75610.2
3982
43419.9
9
Plan-wise Investment on Water Supply and Sanitation Sector in India
(1951-1956 to 2002-2007)
(Rs. in Crore)
Plan Period
% of
Public
Sector
Outlay
% of Public
Sector
Outlay
% of Public
Sector Outlay
I Plan (1951-56)
1.48
1.28
0.18
II Plan (1956-61)
1.07
0.65
0.41
III Plan (1961-66)
1.23
1.04
0.19
3 Annual Plans (1966-69)
1.6
N.A
N.A
IV Plan (1969-74)
2.75
1.77
0.97
V Plan (1974-79)
2.62
1.4
1.22
Annual Plan (1979-80)
3.43
1.58
1.85
VI Plan (1980-85)
4.15
1.81
2.34
VII Plan (1985-90)
3.62
1.65
1.98
2 Annual Plans (1990-92)
3.23
1.26
1.97
VIII Plan (1992-97)
3.85
1.38
2.47
IX Plan (1997-02)
4.46
2.16
2.43
X Plan (2002-07)
2.89
1.3
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)
(Rs. in Crore)
Allocation for Education as
Percentage of GDP
1991-1992
22393.69
3.8
1992-1993
25030.3
3.72
1993-1994
28279.69
3.62
1994-1995
32606.22
3.56
1995-1996
38178.09
3.56
1996-1997
43896.48
3.53
1997-1998
48552.14
3.49
1998-1999
61578.91
3.85
1999-2000
74816.09
4.17
2000-2001
82486.48
4.27
2001-2002
79865.7
3.81
2002-2003
85507.34
3.79
2003-2004
89079.25
3.5
2004-2005
104566.00 (RE)
3.68
2005-2006
119029.88 (BE)
3.72
Year
Planwise Share of Public and Private Sectors in
Gross Domestic Capital Formation in India
(First Plan to Eighth Plan)
(Plan Period Averages at current prices)
Percentage
Share in Total
Saving
Public
Sector
(Rs.
million)
Private
Sector
(Rs.
million)
Total
(Rs.
million)
Public
Sector
First Plan (1951-56)
3587
7229
10816
Second Plan (1956-61)
8587
11667
Third Plan (1961-66)
15932
Annual Plans (1966-69)
As % of GDP
at Market
Prices
Private
Sector
Publ
ic
Sect
or
Privat
e
Secto
r
Tota
l
33.2
66.8
3.5
7.1
10.7
20254
42.4
57.6
6.1
8.4
14.5
17558
33490
47.6
52.4
7.4
8.1
15.5
21207
31739
52947
40.1
59.9
6.3
9.4
15.7
Fourth Plan (1969-74)
32885
49919
82804
39.7
60.3
6.8
10.3
17.1
Fifth Plan (1974-78#)
69496
89694
159190
43.7
56.3
8.3
10.8
19.1
Annual Plans (1978-80)
108776
138944
247720
43.9
56.1
10
12.7
22.7
Sixth Plan (1980-85)
177414
200004
377418
47
53
9.7
11
20.7
Seventh Plan (1985-90)
356950
458250
815200
43.8
56.2
10.3
13.2
23.4
Annual Plan (1990-92)
577799
886316
1464115
39.5
60.5
10
15.4
25.4
Eighth Plan (1992-97*)
843419
1694157
2537576
33.2
66.8
8.6
17.4
26
Average for Plan
Period
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
