National Institution for Transforming India (NITI Aayog)

National Institution for Transforming India (NITI Aayog)

Planning has been ingrained in the Indian mentality since our leaders were influenced by the communist clime of the former USSR.

National Institution for Transforming India (NITI Aayog)

Historical Background 

  • Planning has been ingrained in the Indian mentality since our leaders were influenced by the communist clime of the former USSR. For over six decades, the planning commission operated as the planning mechanism, concentrating on control and command.
  • On January 1, 2015, the Planning Commission was replaced by a new entity, NITI Aayog, with an emphasis on a Bottom-Up approach to envision the goal of Maximum Governance, Minimum Government, mirroring the spirit of 'Cooperative Federalism.'

What about the NITI Aayog's composition?

  • Chairman: Prime Minister
  • Vice-Chairman: appointed by the Prime Minister.
  • Governing Council: Chief Ministers of all states and Lieutenant Governors of Union Territories comprise the Governing Council.
  • Regional Council: Composed of Chief Ministers and Lieutenant Governors and chaired by the Prime Minister or his designee to address specific regional concerns.
  • Adhoc Membership: On a rotating basis, two members from renowned research institutes serve as ex-officio members.
  • Ex-officio members include: The Prime Minister may designate up to four members of the Union Council of Ministers.
  •  Chief Executive Officer: Appointed by the Prime Minister for a definite term as Secretary to the Government of India.
  • Guests of Honor: The Prime Minister appoints experts and specialists with subject knowledge.

The NITI Aayog is based on the seven pillars of effective Governance. They are:

  • Pro-people: it fulfills the aspirations of society as well as individuals
  • Pro-activity: in anticipation of and response to citizen needs
  • Participation: involvement of the citizenry
  • Empowering: Empowering, especially women in all aspects
  • Inclusion of all: inclusion of all people irrespective of caste, creed, and gender
  • Equality: Providing equal opportunity to all, especially for youth
  • Transparency: Making the government visible and responsive

Three plans spread over three different time periods

  • First is a 15 year “Vision” that encompasses overall goals and objectives of the country for next 15 years.
  • Second is a 7 year “Strategy” which lays the roadmap of development for next seven years dividing those goals and objectives into two parts.
  • Third and Final is a “Three Year Action Agenda” which states the tasks and targets to be accomplished in next three years time frame, further dividing the strategy into two parts.

The NITI Aayog Hubs -

  •  The Team India Hub serves as a link between the states and the central government.
  • The Knowledge and Innovation Hub strengthens NITI Aayog's think-tank capabilities.
  • The Aayog intended to release three documents: a three-year action agenda, a seven-year medium-term strategy paper, and a fifteen-year vision document.

What is the significance of the NITI Aayog?

  • The 65-year-old Planning Commission had outlived its usefulness. It was helpful in a command economy, but not any longer.
  • India is a diverse country with distinct stages of economic growth and unique strengths and shortcomings.
  • A one-size-fits-all approach to economic planning is out of date in this setting. It would not enable India to compete in today's global economy.

What Are Its Primary Goals?

  • To promote cooperative federalism constantly through organized support programs and processes with the states, understanding that solid states constitute a strong nation.
  • Develop methods for developing viable plans at the village level and gradually aggregate these at higher levels of government.
  • To guarantee that national security considerations are included in economic strategy and policy in areas where they are mentioned.
  • To devote special attention to those segments of our society who may be in danger of not benefiting sufficiently from economic advancement.
  • To give guidance and stimulate collaboration between important stakeholders and like-minded Think Tanks on a national and worldwide scale, as well as educational and policy research organizations.
  • Establish a collaborative network of national and international specialists, practitioners, and partners to encourage knowledge, innovation, and entrepreneurship.
  • To provide a forum for the resolution of cross-sectoral and cross-departmental issues in order to expedite the implementation of the development plan.
  • They are maintaining a cutting-edge Resource Centre, serving as a repository for research on good Governance and best practices in sustainable and equitable development, and assisting in their dissemination to stakeholders.

What are the concerns involved?

  • To demonstrate its policymaking prowess, the NITI Aayog must select among 13 objectives while maintaining a clear awareness of the distinctions between policy, planning, and strategy.
  • To build trust, faith, and confidence more than the Planning Commission, NITI Aayog requires budgetary freedom in terms of revenue and capital expenditure rather than plan and non-plan expenditures, as a higher rate of increase in capital expenditure can eliminate infrastructural deficits at all levels of operation in the economy.

What key measures has NITI Aayog undertaken?

  • Atal Innovation Mission
  • Aspirational District Programme
  • Agriculture Marketing And Farmer-Friendly reform Index
  • Composite Water Management Index
  • District Hospital Index
  • Good Governance Index
  • Health Index
  • India Innovation Index
  • 'Methanol Economy' program
  • Strategy for New India at 75
  • SATH Project.
  • SDG India Index
  • School Education Quality Index
  • Women Transforming India Awards
  • Women Entrepreneurship Platform (WEP)
  • The site was created and managed by NITI Aayog as part of a collaborative information exchange initiative with the UK government and as part of the UK-India Joint Roadmap 2030, which both nations' Prime Ministers signed.
  • It aspires to supplement the government's efforts to raise awareness about EVs and educate customers about the benefits of converting to electric cars.

What are the Future prospects?

  • Planning decentralization, but within a five-year plan framework.
  • Bureaucratic inertia must be overcome through specialization and performance-based responsibility.
  • Over time, NITI Aayog may emerge as a change agent, contributing to the government's aim of strengthening Governance and implementing innovative initiatives for better public service delivery.
  • NITI Aayog remains a model of efficient, transparent, innovative, and responsible Governance in the country, with exemplary work ethics.