NITI Ayog and its approach to economic development

Niti Ayog – National Institution for Transforming India

The National Institution for Transforming India, also called NITI Aayog, was formed via a resolution of the Union Cabinet on January 1, 2015. NITI Aayog is the premier policy ‘Think Tank’ of the Government of India, providing both directional and policy inputs. While designing strategic and long term policies and programmes for the Government of India, NITI Aayog also provides relevant technical advice to the Centre and States.

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Objectives of Niti Aayog

Active involvement of States in development process and to foster cooperative Federalism
Developing plans at village level and paying attention to the section which are not benefiting from the economic progress.
Preparing policy and plans for long term goals, monitoring them, collecting feedback, making improvements time to time from the feedback.
Collaboration of National and International think tanks and different departments to provide advice.
Developing Economic policy which also helps in National Security.
Resolving different inter-sectoral and inter-departmental issues for faster execution of plans.
Up gradation of technologies and capacity building.

NITI Aaayog is based on the 7 pillars of effective governance – (1) Pro-People (2) Pro-Activity (3) Participation (4) Empowering (5) Inclusion of all (6) Equality (7) Transparency.

Composition of NITI Aayog

Chairperson:Prime Minister of India
Governing Council:Comprising the Chief Ministers of all States and Lt. Governors of Union Territories.
Regional Councils:Will be formed to address specific issues and contingencies impacting more than one state or region.

Strategy and Planning in the NITI Aayog will be anchored from State-level. Regional Councils will be convened by the Prime Minister for identified priority domains, put under the joint Leadership of related sub-groups of States (grouped around commonalities which could be geographic, economic, social or otherwise) and Central Ministries.

Regional Councils

Have specified tenures, with the mandate to evolve a strategy and oversee implementation.
Be jointly headed by one of the groups Chief Ministers (on a rotational basis or otherwise) and a corresponding Central Minister.
Include the sectoral Central Ministers and Secretaries concerned, as well as State Ministers and Secretaries. It will be linked to corresponding domain experts and academic institutions.
Have a dedicated support cell in the NITI Aayog Secretariat.
States would thus be empowered to drive the national agenda. As a consequence, deliberation would be more grass-roots informed, and recommendations would have more ownership, given their joint formulation.
Special Invitees: experts, specialists and practitioners with relevant domain knowledge as special invitees nominated by the Prime Minister.

Full-time Organisational Framework:

Will comprise of, in addition to the Prime Minister as the Chairperson:

Vice-Chairperson: to be appointed by the Prime Minister.
Members: full-time: specialists with international exposure.
Part-time Members: maximum of 2, from leading universities, research organizations and other relevant institutions in an ex-officio capacity. Part-time members will be on a rotational basis.
Ex-Officio Members: maximum of 4 members of the Union Council of Ministers to be nominated by the Prime Minister.
Chief Executive Officer: to be appointed by the Prime Minister for a fixed tenure, in the rank of Secretary to the Government of India.
Secretariat: as deemed necessary.

NITI Aayog specialized Wings

Research Wing – that will develop in-house sectoral expertise as a dedicated think tank of top domain experts, specialists and scholars.

Consultancy Wing – that will provide a marketplace of whetted panels of expertise and funding for Central and State Governments to tap into; matching their requirements with solution providers, public and private, national and international. By playing matchmaker instead of providing the entire service itself, NITI Aayog will be able to focus its Resources on priority matters, providing guidance and an overall quality check to the rest.

Team India Wing – comprising representatives from every State and Ministry, will serve as a permanent platform for national collaboration.

Difference between NITI Aayog and Planning Commission

Organization:

Planning Commission – Had deputy chairperson, a member secretary, and full-time members. Secretaries or member secretaries appointed by the usual process.
NITI Aayog – New posts of CEO of secretary rank, and Vice-Chairperson. Will also have five full-time members and two part-time members. Four cabinet ministers will serve as ex-officio members. CEO is appointed directly by Prime Minister.

Planning:

Planning commission goes for top-down planning for government with public sector resources.
NITI ayog formulate national development strategy in a market economy integrated with the globalized world.

Relation with states

The planning commission was a central government institution and no representation of State Government. There was no structural mechanism for interaction with states.
NITI ayog provides a PARTNERSHIP with state governments to promote co-operative federalism. It provides a platform for structured and regular interaction with states.

Finance

The role of Finance Commission was greatly reduced with the Formation of Planning Commission. Allocation of funds were decided by the Planning Commission.
NITI ayog don’t any role in fund allocation. Finance ministry to decide the share of taxes to states, fund allocation to CSS and Union assistance to the state plan.

Constitution and Reporting

Planning Commission- The commission reported to National Development Council that had State Chief Ministers and Lieutenant governors.
Niti Aayog – Governing Council has State Chief Ministers and Lieutenant Governors.

NITI Ayog, or the National Institution for Transforming India, is a premier policy think tank of the Government of India. It was formed in January 2015, replacing the Planning Commission. NITI Ayog is headed by a full-time Chairman, who is appointed by the Prime Minister of India. The Chairman is assisted by a Vice-Chairman and six full-time members. The members are appointed by the Prime Minister on the recommendation of a selection committee. NITI Ayog also has a number of part-time members, who are experts in various fields. The part-time members are appointed by the Prime Minister on the recommendation of the Chairman.

The main aims and objectives of NITI Ayog are:

To provide necessary support to the Prime Minister of India for evolving and implementing Sound policies.
To promote economic Growth and development.
To improve the Quality Of Life of the people of India.
To reduce POVERTY and inequality.
To promote Sustainable Development.
To improve governance.

NITI Ayog follows a holistic approach to Economic Development. It believes that economic development should be inclusive and sustainable. It also believes that economic development should be based on sound economic policies and institutions. NITI Ayog has adopted a number of initiatives to promote economic development in the country. These initiatives include:

The Pradhan Mantri Jan Dhan Yojana (PMJDY)
The Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
The Pradhan Mantri Awas Yojana (PMAY)
The Pradhan Mantri Mudra Yojana (PMMY)
The Pradhan Mantri Fasal Bima Yojana (PMFBY)

Some of the key initiatives taken by NITI Ayog include:

The Atmanirbhar Bharat Abhiyan (ASBA)
The National Infrastructure-2/”>INFRASTRUCTURE Pipeline (NIP)
The National Health Policy (NHP)
The National Education Policy (NEP)
The National Nutrition Mission (NNM)

NITI Ayog faces a number of challenges, including:

The challenge of coordinating the implementation of central government schemes and programs.
The challenge of monitoring the progress of economic development in the country.
The challenge of identifying and suggesting reforms in the economic and social sectors.
The challenge of promoting public-private partnership in development.
The challenge of building capacity for economic development at the state and local levels.

Despite these challenges, NITI Ayog has a number of opportunities to make a positive impact on the economic development of the country. These opportunities include:

The opportunity to leverage the power of technology to improve governance and delivery of Services.
The opportunity to promote innovation and Entrepreneurship.
The opportunity to build a strong manufacturing sector.
The opportunity to improve the quality of education and healthcare.
The opportunity to reduce poverty and inequality.

NITI Ayog has the potential to make a significant contribution to the economic development of India. However, it needs to address the challenges it faces and seize the opportunities available to it. If it can do so, it can help India achieve its goal of becoming a developed nation by 2022.

One of the key challenges that NITI Ayog faces is the challenge of coordinating the implementation of central government schemes and programs. There are a large number of central government schemes and programs, and it can be difficult to ensure that they are all implemented effectively and efficiently. NITI Ayog needs to develop mechanisms to coordinate the implementation of these schemes and programs, and to ensure that they are aligned with the overall goals of the government.

Another key challenge that NITI Ayog faces is the challenge of monitoring the progress of economic development in the country. It is important to track the progress of economic development in order to identify areas where progress is being made and areas where there are challenges. NITI Ayog needs to develop mechanisms to monitor the progress of economic development, and to use this information to inform its policy recommendations.

NITI Ayog also faces the challenge of identifying and suggesting reforms in the economic and social sectors. There are a number of areas where reforms are needed in order to improve economic development. NITI Ayog needs to identify these areas, and to develop and recommend reforms that will address them.

NITI Ayog also faces the challenge of promoting public-private partnership in development. Public-private partnerships can be a valuable tool for promoting economic development. NITI Ayog needs to develop mechanisms to promote public-private partnerships, and to ensure that they are used effectively.

Finally, NITI Ayog faces the challenge of building capacity for economic development at the state and local levels. Economic development is not just a central government responsibility. It is also a responsibility of state and local governments. NITI Ayog needs to develop mechanisms to build capacity for economic development at

What is NITI Aayog?

NITI Aayog is a policy think tank of the Government of India, established with the goal of providing the Prime Minister with policy advice on economic and social issues. It was formed in January 2015, replacing the Planning Commission, which had been in existence since 1950.

What is NITI Aayog’s approach to economic development?

NITI Aayog’s approach to economic development is based on the principles of Inclusive Growth, sustainable development, and Good Governance. It believes that economic growth should be inclusive, meaning that it should benefit all sections of Society, and not just the wealthy few. It also believes that economic growth should be sustainable, meaning that it should not damage the Environment or deplete Natural Resources. Finally, it believes that economic growth should be accompanied by good governance, meaning that the government should be efficient, transparent, and accountable.

What are some of NITI Aayog’s key initiatives?

Some of NITI Aayog’s key initiatives include the following:

The Atmanirbhar Bharat Abhiyan (Self-Reliant India Campaign), which is a national mission to make India self-reliant in key sectors of the economy.
The Pradhan Mantri Kaushal Vikas Yojana (Prime Minister’s Skill development Scheme), which is a scheme to provide training to youth in various skills.
The Pradhan Mantri Jan Dhan Yojana (Prime Minister’s People’s Wealth Scheme), which is a scheme to provide financial services to the poor.
The Pradhan Mantri Awas Yojana (Prime Minister’s Housing Scheme), which is a scheme to provide housing to the poor.

What are some of the challenges facing NITI Aayog?

Some of the challenges facing NITI Aayog include the following:

The lack of a clear mandate. NITI Aayog’s role is not clearly defined, and it is not always clear what its powers are.
The lack of resources. NITI Aayog is a relatively small organization, and it does not have the resources to implement all of its initiatives.
The lack of coordination with other government agencies. NITI Aayog is not always able to coordinate its activities with other government agencies, which can lead to duplication of effort and confusion.
The lack of public awareness. NITI Aayog is not well-known to the public, and this can make it difficult to get people to support its initiatives.

What are the prospects for NITI Aayog?

The prospects for NITI Aayog are mixed. On the one hand, it has the potential to be a powerful tool for economic development. On the other hand, it faces a number of challenges, which could limit its effectiveness. It remains to be seen whether NITI Aayog will be able to overcome these challenges and make a significant contribution to India’s economic development.

Which of the following is not a goal of NITI Aayog?
(A) To achieve Sustainable Development Goals
(B) To promote economic growth
(C) To improve the quality of life of the people
(D) To reduce inequality
Which of the following is not a function of NITI Aayog?
(A) To formulate policies and programs for economic development
(B) To monitor the implementation of policies and programs
(C) To evaluate the impact of policies and programs
(D) To provide technical assistance to the government
Which of the following is not a principle of NITI Aayog?
(A) Co-operative federalism
(B) Decentralization
(C) Transparency
(D) Accountability
Which of the following is not a challenge faced by NITI Aayog?
(A) Lack of coordination between different government departments
(B) Lack of financial resources
(C) Lack of skilled manpower
(D) Lack of public support
Which of the following is not a success story of NITI Aayog?
(A) The Pradhan Mantri Jan Dhan Yojana (PMJDY)
(B) The Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
(C) The Pradhan Mantri Awas Yojana (PMAY)
(D) The Pradhan Mantri Mudra Yojana (PMMY)
Which of the following is not a criticism of NITI Aayog?
(A) It is not a powerful enough body to make a difference
(B) It is not accountable to the people
(C) It is not transparent in its functioning
(D) It is not effective in coordinating the work of different government departments
Which of the following is not a recommendation for the future of NITI Aayog?
(A) It should be given more powers
(B) It should be made more accountable to the people
(C) It should be made more transparent in its functioning
(D) It should be made more effective in coordinating the work of different government departments
Which of the following is not a goal of sustainable development?
(A) To eradicate poverty
(B) To reduce inequality
(C) To protect the environment
(D) To promote economic growth
Which of the following is not a principle of sustainable development?
(A) Equity
(B) Efficiency
(C) Sustainability
(D) Participation
Which of the following is not a challenge faced by sustainable development?
(A) Poverty
(B) Inequality
(C) Climate change
(D) Lack of political will
Which of the following is not a success story of sustainable development?
(A) The Millennium Development Goals (MDGs)
(B) The Paris Agreement on Climate Change
(C) The Sustainable Development Goals (SDGs)
(D) The Rio Declaration on Environment and Development
Which of the following is not a criticism of sustainable development?
(A) It is too ambitious
(B) It is too expensive
(C) It is not realistic
(D) It is not effective
Which of the following is not a recommendation for the future of sustainable development?
(A) It should be made more ambitious
(B) It should be made more affordable
(C) It should be made more realistic
(D) It should be made more effective
Which of the following is not a goal of economic growth?
(A) To increase the gross domestic product (GDP)
(B) To create jobs
(C) To reduce poverty
(D) To improve the quality of life of the people
Which of the following is not a principle of economic growth?
(A) Efficiency
(B) Equity
(C) Sustainability
(D) Participation
Which of the following is not a challenge faced by economic growth?
(A) Poverty
(B) Inequality
(C) Climate change
(D) Lack of political will
Which of the following is not a success story of economic growth?
(A) The Green Revolution
(B) The Industrial revolution
(C) The Information Technology Revolution
(D) The Agricultural Revolution
Which of the following is not a criticism of economic growth?
(A) It is too focused on the short-term
(B) It is too focused on the rich
(C) It is not sustainable
(D) It is not equitable
Which of the following is not a recommendation for the future of economic growth?
(A) It