PLANNING COMMISSION PAKISTAN:

CHANGING ROLE OF THE PLANNING COMMISSION:

During the fifties and seventies the formal planning machinery of the government, the planning board
(in fifties) and the planning commission (as it was called after late fifties), was relegated to a position of
little importance. It was then in 60s that the planning commission enjoyed considerable power in
country`s decision making. This was formulated after implementation of 2nd and 3rd five year plans.
Planning machinery should not be confused with the decision-making authority of the government.
Especially since the day-to-day and short-run economic management is exercised mainly by the
concerned ministries of central and provincial governments. The changes in the planning commission
can be understood by five phases.

1. THE PERIOD OF ECONOMIC COORDINATION (1947-53):

 First plan was made in 1950, which was a six year plan for the period of 1951-57.
 It represented loose aggregation of number of individual projects. No aggregate projects
were mentioned for the economy as a whole nor was there any attempt to relate particular
projects to overall targets.
 Planning machinery was hardly equipped to do its job.

2. THE PERIOD OF THE PLANNING BOARD (1953-58):

 Planning commission faced shortage of staff, absence of statistical data, an uncertain status
in the government.
 They were also treated unfairly by the strong ministries and departments particularly
ministry of finance and state bank which was regarded as a rival institution.
 The first plan was presented in 1955. But it could not be published till 1957, nearly two
years after the first plan period.
 Annual development programs set by planning commission were never seriously followed.

3. THE PERIOD OF POWERFUL PLANNING COMMISSION (1958-68):

 The status of planning commission was raised to a division in president`s secretariat.
 Planning commission was institutionalized in 1958-64. Provincial planning departments
were organized, planning cells were created in various ministries and departments, and the
planning commission was represented on practically all the decision-making committees in
government.
 Thus, the deputy chairman of the planning was a member of National Economic Council
which was the highest decision making body in the economic field.
 Planning commission was also providing the secretariat for the executive committee of
national economic council which looked after the day-to-day work of national economic
council and was responsible for the final approval of the development projects.
 Annual development programs was entirely formulated by planning commission.

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  They were also featured in the foreign exchange control committee which made decisions
regarding the allocation of foreign exchange.

4. THE PERIOD OF DECLINE OF THE PLANNING COMMISSION:

 It was coincided with the fall of ayub`s government
 First major blow to power and authority of planning commission came during the
government of yahya khan. 3rd five year plan was abandoned and was never followed.
 Afterwards Pakistan's People’s Party (PPP) with draw its attention from planning
commission and it was given very less importance.
 PPP decided to run government through annual plans instead of five years plans. Planning
commission started losing all the powers, authorities, autonomy many economists in
planning commission started leaving their ranks and it was then placed under the role of
finance ministry.
 The government ordered planning commission to prepare five year plan and to cover 1977-
1982 which was actually published but was later abandoned as government changed.

5. RECENT ATTEMPTS AT REVIVAL OF THE PLANNING COMMISSION (1980 TO

PRESENT)
 In 1982-85 sixth five year plan was formulated and deputy chairman was appointed to look
after the formulation and implementation of the plan.
 Government appointed members from different regions to ensure competency and
regional representation.