Short Answer

The Planning Commission in India was started by the Government of India in 1950. It was set up under the leadership of Jawaharlal Nehru, who was also its first chairman.

The main purpose of the Planning Commission was to make plans for the country’s economic development and to use resources properly. It played a key role in preparing Five-Year Plans.

Detailed Explanation:

Planning Commission in India

Establishment

The Planning Commission was established on 15 March 1950 by a resolution of the Government of India. It was not created by the Constitution but was formed as an important advisory body to guide the country’s economic planning.

The idea behind setting up the Planning Commission was to ensure that India’s resources were used in the best possible way for development. After independence, the country needed proper planning to improve its economy, reduce poverty, and increase production.

Role of Jawaharlal Nehru

Jawaharlal Nehru played a major role in the establishment of the Planning Commission. He strongly believed in planned economic development and was influenced by the planning system of socialist countries.

He became the first chairman of the Planning Commission and guided its work. Under his leadership, the Commission prepared and implemented the Five-Year Plans, which helped in shaping India’s economy in the early years after independence.

Functions of the Planning Commission

The Planning Commission had several important functions:

• To assess the country’s resources such as land, labor, and capital
• To prepare Five-Year Plans for economic development
• To set targets for growth in different sectors like agriculture and industry
• To allocate funds to states and sectors
• To monitor and review the progress of plans

Through these functions, the Commission helped in guiding India’s development in a systematic way.

Importance of Planning Commission

Economic development

The Planning Commission played a key role in India’s economic growth. It helped in improving agriculture, industries, and infrastructure through planned development.

Balanced growth

It aimed at balanced regional development so that all parts of the country could progress equally.

Poverty reduction

The Commission focused on reducing poverty and improving the standard of living of people by creating jobs and increasing income.

Resource management

It ensured proper use of resources to avoid waste and promote efficiency in development projects.

Replacement

In 2015, the Planning Commission was replaced by NITI Aayog, which focuses on policy-making and cooperative federalism.

Conclusion

The Planning Commission was started by the Government of India in 1950 under the leadership of Jawaharlal Nehru. It played a very important role in planning and guiding the country’s economic development through Five-Year Plans. Though it no longer exists, its contribution to India’s growth is highly significant.