The correct answer is: B) Karnataka Planning Department.
The Karnataka Planning Department is the state-level body involved in planning and development activities in Karnataka. It is responsible for formulating and implementing the state’s five-year plans, as well as for coordinating the activities of other state government departments involved in planning and development.
The Directorate of Economics and Statistics is a state government department that is responsible for collecting and analyzing economic and statistical data. The Finance Commission is a statutory body that is responsible for recommending the distribution of central government taxes between the states. NITI Aayog is a national-level body that is responsible for providing strategic and policy advice to the central government on matters related to economic development and social welfare.
The Karnataka Planning Department is the most appropriate body to answer the question because it is the state-level body that is responsible for planning and development activities in Karnataka. The other options are not state-level bodies and are therefore not as relevant to the question.