India was among the few poorest countries in the fifties.

Govt. employed the technique of `democratic planning with the

objective of economic development.
Five year plans were launched in 1951. Planning Commission was set
up in 1950 with 8 members.
National Development Council in 1952 with members of Planning
Commission and all state chief ministers.

Indian Economy In 1950
OBJECTIVES OF PLANNING
Growth with Social Justice

1. Higher Economics Growth
2. Reduction of Inequality
3. Full Employment
4. Economic Self-Reliance
5. Modernisation of various sectors
6. Redressing regional imbalances in the economy
INDIAN FIVE YEAR PLANS IN BRIEF
(At 1993 94
prices)

Plan Period Priorities
Targeted
Growth
rate of
GDP
Achieved
Growth
rate of
GDP
Per Capita
Growth
Rate
I 1951-56 Agriculture 2.1 3.6 1.8
II 1956-61 Basic & Key Industries 4.5 4.1
2.0

III 1961-66 Ag & Key Industries 5.6 2.5 0.2
Annual Plans 1966-69 Plan Holiday 3.8 1.5
IV 1969-74 Agri. & Growth and Stability 5.7 3.3 1.0
V 1974-79 Poverty eradication & SR 4.4 5.0 2.7
Annual Plan 1979-80 -6.0 -8.3
VI 1980-85 Poverty Eradication 5.2 5.4 3.2
VII 1985-90 Poverty Eradication & SR 5 5.8 3.6
Annual Plans
1990-91
1991-92
5.4
0.5
3.3
-1.5
VIII 1992-97 Employment 5.6 6.7 4.6
IX 1997-02 Growth with Social Justice 6.5 5.5 3.6
X 2002-07 Growth and equity 8 7.5 -
GDP Growth and Per Capita GDP (1972-2002)
Period %Growth in GDP
Aggregate Per capita
Years to
double
Per Capita
GDP
1972-82 3.5 1.2 57
1982-92 5.2 3.0 23
1992-02 6.0 3.9

18
TENTH FIVE YEAR PLAN
Objectives and Targets:

i. Reduction of poverty ratio by 5%
ii. Gainful employment opportunity creation (quality of
employment etc.)
iii. Reduction in the rate of population growth
iv. Increase in literacy to 75% by 2007
v. Reduction in infant mortality rate to 45 per 1000 live
births by 2007 and to 28 by 2012
vi. Reduction in maternal mortality rate to 2 per 1000 live
births by 2007 and to 1 by 2012
ELEVENTH FIVE YEAR PLAN
Objectives and Targets: