State the important objectives of NITI Aayog. How are the principles and functions of NITI Aayog different from those of the Planning Commission? Comment.

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Points to Remember:

  • NITI Aayog’s objectives: Cooperative federalism, inclusive growth, sustainable development, and achieving SDGs.
  • Key differences from Planning Commission: Shift from centralized planning to collaborative federalism, focus on policy advocacy and knowledge creation, and a more flexible and outcome-oriented approach.

Introduction:

NITI Aayog (National Institution for Transforming India), established in 2015, replaced the Planning Commission of India. The shift marked a significant change in India’s approach to economic planning, moving away from a centrally-directed, command-and-control model towards a more cooperative and collaborative federal structure. The Planning Commission, established in 1950, operated under a five-year plan framework, directing resource allocation and implementing centrally-driven development strategies. NITI Aayog, in contrast, aims to foster a more participatory and outcome-oriented approach to national development.

Body:

1. Objectives of NITI Aayog:

NITI Aayog’s primary objectives, as outlined in its founding document, are:

  • To foster cooperative federalism: This involves strengthening the role of states in policy formulation and implementation, promoting greater collaboration between the central government and states.
  • To achieve inclusive growth: NITI Aayog aims to ensure that the benefits of economic growth reach all sections of society, with a particular focus on marginalized communities.
  • To ensure sustainable development: The institution emphasizes environmentally sustainable development practices, balancing economic growth with environmental protection.
  • To achieve Sustainable Development Goals (SDGs): NITI Aayog plays a crucial role in aligning India’s development agenda with the globally adopted SDGs.
  • To provide a platform for knowledge creation and dissemination: NITI Aayog acts as a think tank, conducting research and providing policy recommendations based on evidence and best practices.
  • To monitor and evaluate government programs: NITI Aayog monitors the implementation of various government schemes and provides feedback for improvement.

2. Differences between NITI Aayog and the Planning Commission:

| Feature | Planning Commission | NITI Aayog |
|—————–|—————————————————|————————————————-|
| Nature | Centrally-planned, command-and-control | Cooperative federalism, collaborative |
| Role | Directive planning, resource allocation | Policy advocacy, knowledge creation, monitoring |
| Structure | Hierarchical, top-down | Flexible, participatory |
| Focus | Five-year plans, targets | Outcome-oriented, flexible approach |
| Relationship with States | Top-down directives | Collaborative partnership, consultation |
| Decision-making | Centralized | Decentralized, consultative |

3. Analysis of the Shift:

The shift from the Planning Commission to NITI Aayog reflects a broader global trend towards decentralized governance and participatory development. The centralized planning approach of the Planning Commission, while effective in the initial stages of nation-building, faced criticisms regarding its inflexibility, lack of responsiveness to local needs, and limited accountability. NITI Aayog’s focus on cooperative federalism aims to address these shortcomings by empowering states and fostering greater collaboration. However, challenges remain in effectively coordinating diverse state interests and ensuring consistent implementation of national policies. The success of NITI Aayog depends on the effective engagement of states and the ability to build consensus on national priorities.

Conclusion:

NITI Aayog’s objectives are ambitious, aiming to achieve inclusive, sustainable, and equitable development through a collaborative federal approach. The key differences between NITI Aayog and the Planning Commission lie in their approach to planning, their relationship with states, and their focus on outcomes. While the transition has brought about a more flexible and participatory system, challenges remain in ensuring effective coordination and implementation. Moving forward, NITI Aayog needs to strengthen its capacity for evidence-based policymaking, enhance its engagement with stakeholders, and continuously adapt its strategies to address evolving development challenges. Success will depend on fostering a truly collaborative environment that respects the diversity of India’s states and communities, ultimately contributing to a more holistic and sustainable development trajectory aligned with constitutional values of justice, liberty, equality, and fraternity.

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