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2022 | OriginalPaper | Chapter

NITI Aayog—An Alternate Think Tank

Author : Atul Sarma

Published in: Perspectives on Inclusive Policies for Development in India

Publisher: Springer Nature Singapore

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Abstract

On 1 January 2015, the Cabinet passed a resolution to set up the National Institution for Transformation of India (NITI) Aayog. This brought to the end of the erstwhile Planning Commission, which had played an important role in the country’s economy for over six and a half decades from very low initial conditions to a high growth trajectory. This paper addresses the following issues relating to the NITI Aayog: What has motivated the new government to replace the Planning Commission with the NITI Aayog? What are the roles and functions assigned? What is its organizational design? How does its functional architecture look like? What are some of its major initiatives in the last four years? Was it inevitable to dissolve the Planning Commission and create a new institution to do what the NITI Aayog is doing? While concluding, it argues that a restructured and reoriented Planning Commission dispensing with its negatives features such as micro-management and excessive bureaucratization but retaining the positive ones in sync with the changed contexts could have done better than what NITI Aayog has been doing.

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Footnotes
1
GoI (2016), NITI Aayog, Transforming India, p. 5.
 
2
Ibid. P. 6.,
 
3
Quoted from Vithal and Sastry (2002).
 
4
Cabinet Resolution: New Delhi, 1 January 2015. P. 9.
 
5
GoI (2016), NITI Aayog, Annual Report 2015–16:4.
 
6
NITI Aayog, Annual Report 17–18, p. 4.
 
7
Discussion in this section is based on the NITI Aayog’s Annual reports.
 
8
NITI Aayog, 2015–16 p. 10.
 
9
NITI Aayog, 2015–16. P.12.
 
10
Alagh (2019), ‘Struggling to be Rich’, Indian Express dated 21 January 2019. See also, Alagh (2018), ‘Planning Circa 2018 and Past Experience’, in Louis Albrects, ed., Do They Make A Difference, (Forthcoming), KULeuven ASRO, Heverlee, Belgium.
 
11
Business Standard (20 December 2019), Volume XXV Number 176 (Editorial).
 
12
For comprehensive discussion on plan formulation and the planning process in India, see, Sarma, Atul (2014) ‘Redefining the Role of Planning Commission in Post-reform Context: An Appraisal’ (Unpublished), presented at the International Symposium on Towards a Desirable Future for India in an Increasingly Globalised Society, organized by Institute for Human Development, New Delhi, in honour of Professor Yoginder K. Alagh, 9–11 March 2014.
 
13
Parikh (1996).
 
14
See, ‘A Note on Economy Wide Modelling and Sectoral Outlays’ by Adviser, PPD, quoted in Arun Shourie’s Governance and the Sclerosis that has Set In, Rupa & Company, New Delhi, pp. 103–105, 2004.
 
15
Bagchi (2007), 3 November.
 
16
Loan component was discontinued following the recommendation of the Twelfth Finance Commission.
 
17
Bagchi (2007), op. cit., p. 96.
 
18
Government of India (2010).
 
19
These are: Nirmal Bharat Abhiyan, National Rural Drinking Water Programme (50:50), National Health Mission (75:25), Integrated Watershed Management Programme (90:10), Indira Awas Yojana (75:25), MGNREGA (90:10), National Rural Livelihood Mission (75:25), Padhan Mantri Gram Sadak Yojana (100 per cent), Rajiv Gandhi Panchayat Sashaktikaran Yojana (75:25), Mid-Day-Meal Programme (65:35), Sarva Shiksha Abhiyan (65:35) and Integrated Child Development Services Scheme (90:10).
 
20
Bagchi (2007), op cit., p. 98.
 
21
For the detailed process of plan formulation, see Sarma (2014), op. cit.
 
22
See, for instance, Bagchi (2007), op. cit.; Parikh (1996), op. cit.; and, Dandekar (1994), 11 June.
 
23
Kelkar (2019), ‘Towards India’s New Fiscal Federalism’, Prof. Sukhamoy Chakravarty Memorial Lecture delivered at the 55th Annual Conference of the Indian Econometric Society, National Institute of Securities Markets (NISM), Mumbai, 8 January, pp. 15–16.
 
24
Ibid., p. 16.
 
Literature
go back to reference Alagh, Y. K. (2018). Planning circa and past experience. In L. Albrects (Ed.), Do they make a difference (Forthcoming). KULenuven, Haverke, Belgium. Alagh, Y. K. (2018). Planning circa and past experience. In L. Albrects (Ed.), Do they make a difference (Forthcoming). KULenuven, Haverke, Belgium.
go back to reference Alagh, Y. K. (2019). Struggling to be rich, The Indian Express dated 21 January. Alagh, Y. K. (2019). Struggling to be rich, The Indian Express dated 21 January.
go back to reference Amaresh, B. (2007). Role of planning and the planning commission in the new Indian economy: Case for review. Economic and Political Weekly, 42(44), 92–100. Amaresh, B. (2007). Role of planning and the planning commission in the new Indian economy: Case for review. Economic and Political Weekly, 42(44), 92–100.
go back to reference Bagchi, A. (2007). Role of planning commission in the new indian economy: case for review. The Economic and Political Weekly, 42(44). Bagchi, A. (2007). Role of planning commission in the new indian economy: case for review. The Economic and Political Weekly, 42(44).
go back to reference Dandekar, V. M. (1994). Role of economic planning in India in the 1990s and beyond. Economic and Political Weekly, 29(4), 1457–1464. Dandekar, V. M. (1994). Role of economic planning in India in the 1990s and beyond. Economic and Political Weekly, 29(4), 1457–1464.
go back to reference Government of India. (2010). Report of the high level expert committee on efficient management of public expenditure (p. 7). Planning Commission. Government of India. (2010). Report of the high level expert committee on efficient management of public expenditure (p. 7). Planning Commission.
go back to reference GoI. (2016). NITI Aayog, Transforming India. GoI. (2016). NITI Aayog, Transforming India.
go back to reference Kelkar, V. (2019). Towards India’s New Fiscal Federalism. Prof. Sukhamoy Chakravarty Lecture at the 55th Annual Conference of the Econometric Society, National Institute of Security Markets, Mumbai, 8 January. Kelkar, V. (2019). Towards India’s New Fiscal Federalism. Prof. Sukhamoy Chakravarty Lecture at the 55th Annual Conference of the Econometric Society, National Institute of Security Markets, Mumbai, 8 January.
go back to reference Parikh, K. S. (1996). Planning is dead, long live planning: The role of planning in a liberalised economy. In M. Chattopadhay, P. Maiti, & M. Rakshit (Eds.), Planning and economic policy: Evaluation and lessons for the future. Sage Publications. Parikh, K. S. (1996). Planning is dead, long live planning: The role of planning in a liberalised economy. In M. Chattopadhay, P. Maiti, & M. Rakshit (Eds.), Planning and economic policy: Evaluation and lessons for the future. Sage Publications.
go back to reference Sarma, A. (2014). Redefing the role of the planning commission in the post-reform context. Presented at the International Symposium on Towards a Desirable Future of India in an increasingly Globalized Society organised by the Institute for Human Development in Honour of Prof. Yoginer K. Alagh. Sarma, A. (2014). Redefing the role of the planning commission in the post-reform context. Presented at the International Symposium on Towards a Desirable Future of India in an increasingly Globalized Society organised by the Institute for Human Development in Honour of Prof. Yoginer K. Alagh.
go back to reference Vithal, & Sastry. (2002). The gadgil formula for allocation of central assistance for state plans, CESS, Hyderabad and Manohar (pp. 17–18). Vithal, & Sastry. (2002). The gadgil formula for allocation of central assistance for state plans, CESS, Hyderabad and Manohar (pp. 17–18).
Metadata
Title
NITI Aayog—An Alternate Think Tank
Author
Atul Sarma
Copyright Year
2022
Publisher
Springer Nature Singapore
DOI
https://doi.org/10.1007/978-981-19-0185-0_11