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Jan 10, 2015

NITI Aayog: What makes its Significant?

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NITI Aayog
Recently, NITI Aayog or National Institution for Transforming India Aayog has been constituted by Prime Minister Narendra Modi disbanding 65 year old Planning Commission of India.

As per the structure, the Prime Minister will the Chairman as used to be Planning Commission. Lets have a look on the other officials of the NITI Aayog.

Arvind Panagariya has been appointed as Vice Chairman. The institution has total seven union ministers in the panel and the chief ministers of states and Lt. Governors are in Governing Council.

Well, this is the fist time any such institution has given privilege to chief ministers, comparing to the working model of planning commission, this was not possible even to hear the chief ministers concerns.

However, they used to meet the vice chairman of planning commission, but the allocation were subject as per the five year plans and other criteria in force.

So, NITI Aayog is scoring more comparing the model of functioning of planning commission. The seven union minister in the panel of NITI Aayog are - Rajnath Singh, Arun Jaitley, Suresh Prabhu and Radha Mohan Singh were Ex-Officio Members. Where as, Nitin Gadkari, Smriti Zubin Irani and Thawar Chand Gehlot are Special Invitees.

Bibek Debroy and V. K. Saraswat were full time members and Sindhushree Khullar is Chief Executive Officer of NITI Aayog.

Indian economy need an institution which plan allocations of resources and execute plans adopting a growth model. Whenever we talk about Indian economy, it is obvious that we go for a mixed economy model neither capitalist nor fully welfare.

In this aspect, the Gandhian model of economic growth will be a good fit for our economy. On the contrary, the planning commission was not seen adopting these models in last 65 years.

Rural development is the core model of Gandhian principles on Indian economy. That does not mean discourage modern or big industries.

It seems, NITI Aayog will draw a line between protection and promotion of rural development through industrialisation. And, keeping the growth momentum of large scale industries.

This makes NITI Aayog a significant institution that could bring a big change in the planning and resources allocation keeping the growth model in mind.


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