Which of the following are associated with ‘Planning’ in India? The

Which of the following are associated with ‘Planning’ in India?

  1. The Finance Commission
  2. The National Development Council
  3. The Union Ministry of Rural Development
  4. The Union Ministry of Urban Development
  5. The Parliament

Select the correct answer using the code given below.

1, 2 and 5 only
1, 3 and 4 only
2 and 5 only
1, 2, 3, 4 and 5
This question was previously asked in
UPSC IAS – 2014
In the context of historical planning in India (primarily through Five Year Plans before the establishment of NITI Aayog), the National Development Council (NDC) and the Parliament were directly involved in the planning process.
Statement 2 is correct: The National Development Council (NDC), composed of the Prime Minister, Union Cabinet Ministers, Chief Ministers of all States, and members of the Planning Commission (now NITI Aayog), was the highest decision-making body for approving Five Year Plans and national development policies.
Statement 5 is correct: The Parliament discusses and approves the Five Year Plans, the Union Budget (which allocates resources based on the plans), and passes legislation related to economic and social development, thus playing a crucial role in the planning framework.
Statement 1 is incorrect: The Finance Commission is a constitutional body (Article 280) whose primary function is to recommend the distribution of tax revenues between the Union and States and grants-in-aid. While its recommendations are vital for resource allocation which supports planned development, the Finance Commission itself was not directly part of the *process* of formulating or approving the Five Year Plans.
Statements 3 and 4 are incorrect: The Union Ministries of Rural Development and Urban Development are implementing agencies. They execute specific schemes and projects aligned with the overall plan objectives but are not considered bodies primarily associated with the *process* of national planning itself.
– Historically, planning in India was centralized under the Planning Commission, approved by the National Development Council (NDC), and subject to parliamentary oversight and approval.
– The Finance Commission deals with fiscal federalism and resource distribution, a distinct role from the planning commission/NDC’s function of drafting and approving development plans.
– Ministries implement planned programmes but are not the apex planning bodies.
With the abolition of the Planning Commission and the establishment of NITI Aayog in 2015, the formal structure of centralized Five Year Plans and the NDC’s role in approving them has changed. NITI Aayog serves as a think tank and policy advisory body. However, this question refers to the historical context of planning in India.