List of Five Year Plans in India [1951-2017]

Five Year Years Assessment Objectiv

Plans

First Five 1951- Targets and objectives more or less
year Plan 1956 achieved. With an active role of the
state in all economic sectors. Five
Indian Institutes of Technology
(IITs) were started as major
technical institutions.
Rehabilitation of refugees, r
development to achieve foo
the shortest possible time an
inflation.

Second 1956- It could not be implemented fully The Nehru-Mahalanobis mo

Five year 1961 due to the shortage of foreign
Plan exchange. Targets had to be pruned.
Yet, Hydroelectric power projects
and five steel mills at Bhilai,
Durgapur, and Rourkela were
established.
adopted.‘Rapid industrialisa
emphasis on the developme
industries Industrial Policy
establishment of a socialisti
as the goal of economic pol

Third Five 1961- Failure. Wars and droughts. Yet, ‘establishment of a self-relia
year Plan 1966 Panchayat elections were started.• generating economy’
State electricity boards and state
secondary education boards were
formed.

Plan 1966- A new agricultural strategy was crisis in agriculture and seri
Holidays – 1969 implemented. It involved the required attention
Annual distribution of high-yielding
Plans varieties of seeds, extensive use of
fertilizers, exploitation of irrigation
potential and soil conservation
measures.

Fourth Five 1969- Was ambitious. Failure. Achieved ‘growth with stability’ and p
year Plan 1974 growth of 3.5 percent but was achievement of self-reliance
marred by Inflation. The Indira HataoTarget: 5.5 pc
Gandhi government nationalized 14
major Indian banks and the Green
Revolution in India advanced
agriculture.

Fifth Five 1974- High inflation. Was terminated by ‘removal of poverty and atta
year Plan 1979 the Janta govt. Yet, the Indian reliance’
national highway system was
introduced for the first time.

Sixth Five 1980- Most targets achieved. Growth: 5.5 ‘direct attack on the problem
year Plan 1985 pc.Family planning was also creating conditions of an ex
expanded in order to prevent
overpopulation.

Seventh 1985- With a growth rate of 6 pc, this plan
Five year 1990 was proved successful in spite of
Plan severe drought conditions for the
first three years consecutively. This
plan introduced programs like
Jawahar Rozgar Yojana.
Emphasis on policies and pr
accelerate the growth in foo
increase employment oppor
productivity

Annual 1989- It was the beginning of privatization No plan due to political unc
Plans 1991 and liberalization in India.

Eighth Five 1992- Partly success. An average annual Rapid economic growth, hig
year Plan 1997 growth rate of 6.78% against the agriculture and allied sector
target 5.6% was achieved. manufacturing sector, grow
imports, improvement in tra
account deficit. to undertake
growth of 5.6%

Ninth Five 1997- It achieved a GDP growth rate of Quality of life, generation o
 year Plan 2002 5.4%, lower than the target. Yet, employment, regional balan
industrial growth was 4.5% which reliance.Growth with social
was higher than targeted 3%. The growth target 6.5%
service industry had a growth rate of
7.8%. An average annual growth rate
of 6.7% was reached.

Tenth Five 2002 – It was successful in reducing the To achieve 8% GDP growth
year Plan 2007 poverty ratio by 5%, increasing poverty by 5 points and incr
forest cover to 25%, increasing in the country.
literacy rates to 75 % and the
economic growth of the country over
8%.

Eleventh 2007- India has recorded an average annual Rapid and inclusive growth
Five year 2012 economic growth rate of 8%, farm through education and skill
Plan sector grew at an average rate of Reduction of gender inequa
3.7% as against 4% targeted. The sustainability.
industry grew with an annual
average growth of 7.2% against 10% To increase the growth rate
targeted. industry, and services to 4%
Provide clean drinking wate

Twelfth 2012- Its growth rate target was 8%. “faster, sustainable and mor
Five year 2017 Raising agriculture output to
Plan Manufacturing sector growt
The target of adding over 88
generation capacity.

List Of Five Year Plans In India, History &

Objectives
The Constitution came into force on 26 January 1950. Subsequently, Planning Commission
was set up on 15 March 1950 and the plan era started from 1 April 1951 with the launching
of the First Five Year Plan (1951-56).
This article will keep you updated on the history and objectives of economic planning in
India, Five Year Plans and the Planning Commission as well as its successor, the NITI
Aayog. You can also download the list of Five Year Plans, its objectives, and assessments in
the form of PDF.
The topic of the economic planning of India is covered in the general studies section of UPSC
and various other competitive exams.

Economic Planning In India – Five Year Plans

The term economic planning is used to describe the long term plans of the government of
India to develop and coordinate the economy with efficient utilization of resources.
Economic planning in India started after independence in the year 1950 when it was deemed
necessary for economic growth and development of the nation.

List of Five Year Plans in India-Download PDF Here

Long term objectives of Five Year Plans in India are:

 High Growth rate to improve the living standard of the residents of India.
 Economic stability for prosperity.
 Self-reliant economy.
 Social justice and reducing the inequalities.
 Modernization of the economy.
The idea of economic planning for five years was taken from the Soviet Union under the
socialist influence of first Prime Minister Pt. Jawahar Lal Nehru.
The first eight five year plans in India emphasised on growing the public sector with huge
investments in heavy and basic industries, but since the launch of Ninth five year plan in
1997, attention has shifted towards making government a growth facilitator.
An overview of all Five Year Plans implemented in India is highlighted below:

Objectives of Economic Planning in India

The following were the original objectives of economic planning in India:

 Economic Development: This is the main objective of planning in India. Economic

Development of India is measured by the increase in the Gross Domestic Product
(GDP) of India and Per Capita Income
 Increased Levels of Employment: An important aim of economic planning in India is
to better utilise the available human resources of the country by increasing the
employment levels.
 Self Sufficiency: India aims to be self-sufficient in major commodities and also
increase exports through economic planning. The Indian economy had reached the
take-off stage of development during the third five-year plan in 1961-66.
 Economic Stability: Economic planning in India also aims at stable market conditions
in addition to the economic growth of India. This means keeping inflation low while
also making sure that deflation in prices does not happen. If the wholesale price index
rises very high or very low, structural defects in the economy are created and
economic planning aims to avoid this.
  Social Welfare and Provision of Efficient Social Services: The objectives of all the
five year plans as well as plans suggested by the NITI Aayog aim to increase labour
welfare, social welfare for all sections of the society. Development of social services
in India, such as education, healthcare and emergency services have been part of
planning in India.
 Regional Development: Economic planning in India aims to reduce regional
disparities in development. For example, some states like Punjab, Haryana, Gujarat,
Maharashtra and Tamil Nadu are relatively well developed economically while states
like Uttar Pradesh, Bihar, Orissa, Assam and Nagaland are economically backward.
Others like Karnataka and Andhra Pradesh have uneven development with world
class economic centres in cities and a relatively less developed hinterland. Planning in
India aims to study these disparities and suggest strategies to reduce them.
 Comprehensive and Sustainable Development: Development of all economic sectors
such as agriculture, industry, and services is one of the major objectives of economic
planning.
 Reduction in Economic Inequality: Measures to reduce inequality through progressive
taxation, employment generation and reservation of jobs has been a central objective
of Indian economic planning since independence.
 Social Justice: This objective of planning is related to all the other objectives and has
been a central focus of planning in India. It aims to reduce the population of people
living below the poverty line and provide them access to employment and social
services.
 Increased Standard of Living: Increasing the standard of living by increasing the per
capita income and equal distribution of income is one of the main aims of India’s
economic planning.

History of Economic Planning In India

Economic planning in India dates back to pre-Independence period when leaders of the
freedom movement and prominent industrialists and academics got together to discuss the
future of India after Independence which was soon to come. Noted civil engineer and
administrator M. Visvesvaraya is regarded as a pioneer of economic planning in India. His
book “Planned Economy for India” published in 1934 suggested a ten year plan, with an
outlay of Rs. 1000 crore and a planned increase of 600% in industrial output per annum based
on economic conditions of the time.
The Industrial Policy Statement published just after independence in 1948 recommended
setting up of a Planning Commission and following a mixed economic model. Here are the
major milestones related to economic planning in India:

 Setting up of the Planning Commission: 15 March 1950

 First Five Year Plan: 9 July 1951
 Dissolution of the Planning Commission: 17 August 2014
 Setting up of NITI (National Institution for Transforming India) Aayog: 1 January
2015
Setting up the NITI Aayog was a major step away from the command economy structure
adopted by India till 1991. The Planning Commission’s top down model of development had
become redundant due to present economic conditions and NITI Aayog approaches economic
planning in a consultative manner with input from various state governments and think tanks.
While preparing for the UPSC Exam, Economic Planning should be approached in a
systematic manner. The major achievements of economic planning in India remain an
important part of the UPSC Syllabus. The strategy of economic planning in India under the
Planning Commission as well the NITI Aayog are important as well. As a rule, IAS aspirants
should focus on:

 Objectives of Economic Planning In India

 Major Achievements of Economic Planning in India
 The Planning Commission and Five Year Plans
 NITI Aayog Action Agenda and Annual Reports
 Sustainable Development Goals
 Economic Reforms in India and Various Government Programmes
 Current Affairs related to all of the topics mentioned above