Introduction on 5 Yr Plan - Essay
Introduction on 5 yr plan:
The economy of India is based in part on planning through its five-year plans, which are developed, executed and monitored by the Planning Commission. The tenth plan completed its term in March 2007 and the eleventh plan is currently underway
First five year plan (1951- 1956)
The first Indian Prime Minister, Jawaharlal Nehru presented the first five-year plan to the Parliament of India on December 8, 1951.This plan was based on the Harrod-Domar model. The plan addressed, mainly, the agrarian sector, including investments in dams and irrigation. The agricultural sector was hit hardest by the partition of India and needed urgent attention.[3] The total planned budget of 2069 crore was allocated to seven broad areas: irrigation and energy (27.2 percent), agriculture and community development (17.4 percent), transport and communications (24 percent), industry (8.4 percent), social services (16.64 percent), land rehabilitation (4.1 percent), and for other sectors and services (2.5 percent).[4] The most important feature of this phase was active role of state in all economic sectors. Such a role was justified at that time because immediately after independence, India was facing basic problems—deficiency of capital and low capacity to save.
The target growth rate was 2.1% annual gross domestic product (GDP) growth; the achieved growth rate was 3.6%
Second five year plan (1956-1961)
The second five-year plan focused on industry, especially heavy industry. Domestic production of industrial products was encouraged in the Second plan, particularly in the development of the public sector.
The total amount allocated under the second five year plan in India was Rs. 4,600 crore. This amount was allocated among various sectors: * Power and irrigation * Social services * Communications and transport * Miscellaneous
Target Growth:4.5% Growth achieved:4.0%
Third five year plan (1961- 1966) The third plan stressed on agriculture
The economy of India is based in part on planning through its five-year plans, which are developed, executed and monitored by the Planning Commission. The tenth plan completed its term in March 2007 and the eleventh plan is currently underway
First five year plan (1951- 1956)
The first Indian Prime Minister, Jawaharlal Nehru presented the first five-year plan to the Parliament of India on December 8, 1951.This plan was based on the Harrod-Domar model. The plan addressed, mainly, the agrarian sector, including investments in dams and irrigation. The agricultural sector was hit hardest by the partition of India and needed urgent attention.[3] The total planned budget of 2069 crore was allocated to seven broad areas: irrigation and energy (27.2 percent), agriculture and community development (17.4 percent), transport and communications (24 percent), industry (8.4 percent), social services (16.64 percent), land rehabilitation (4.1 percent), and for other sectors and services (2.5 percent).[4] The most important feature of this phase was active role of state in all economic sectors. Such a role was justified at that time because immediately after independence, India was facing basic problems—deficiency of capital and low capacity to save.
The target growth rate was 2.1% annual gross domestic product (GDP) growth; the achieved growth rate was 3.6%
Second five year plan (1956-1961)
The second five-year plan focused on industry, especially heavy industry. Domestic production of industrial products was encouraged in the Second plan, particularly in the development of the public sector.
The total amount allocated under the second five year plan in India was Rs. 4,600 crore. This amount was allocated among various sectors: * Power and irrigation * Social services * Communications and transport * Miscellaneous
Target Growth:4.5% Growth achieved:4.0%
Third five year plan (1961- 1966) The third plan stressed on agriculture