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TNPSC Free Notes Economy In English – NITI Aayog

இந்தக் கட்டுரையில், TNPSC குரூப் 1, குரூப் 2, குரூப் 2A, குரூப் 4 மாநிலப் போட்டித் தேர்வுகளான TNUSRB, TRB, TET, TNEB போன்றவற்றுக்கான  முறைகள் இலவசக் குறிப்புகளைப் பெறுவீர்கள்.தேர்வுக்கு தயாராவோர் இங்குள்ள பாடக்குறிப்புகளை படித்து பயன்பெற வாழ்த்துகிறோம்.

NITI Aayog

The National Institution for Transforming India:
 In 2015, the Government of India made a shift in its approach towards planning.
 It introduced a new Commission called the NITI Aayog (National Institution for
Transforming India) which replaced the Planning Commission.
 The Government issued a resolution of the Union Cabinet on 1 st January, 2015 by which
the Planning Commission was replaced by the NITI Aayog.
 The NITI Aayog functions as a think tank of the government.
 It was formed with the idea of making the entire planning process more decentralized.
 In such a system the states could be involved in the formulation and implementation of
developmental plans in a better manner.
 It aims at cooperative federalism where the states can play a wider role.
 It also focuses on need specific plans making the entire process inclusive so that all
sections of the population could be a part of the developmental process.
 It has the function of providing the central government and the state governments with
relevant and strategic technical advice relating to policy making.
 It advices on all issues of national and international importance and analyses on the best
practices from our own country and from other nations of the world.

Reasons for Replacing the Planning Commission by NITI Aayog:
1. The new National Institution for Transforming India (NITI) will act more like a think tank
or a forum, in contrast with the Commission which imposed five-year-plans and
allocated resources to meet set economic targets.
2. NITI will include leaders of India’s 28 states and 9 union territories. Its full-time staff – a
Deputy Chairman, Chief Executive Officer and experts – will answer directly to the Prime
Minister, who will be the Chairman. It is different from the Planning Commission, which
used to report to the National Development Council.
3. The major difference between NITI Aayog and Planning Commission is that the former
will invite greater involvement of the states, while the latter took a top-down approach
with a one-size-fits-all plan.
4. The Planning Commission’s role was the formulation of broad policy, and its capacity
was more advisory. NITI Aayog shall have powers for resource allocation to states, based
on their respective needs.

5. The states had little direct say in policy planning, which was the purview of the Planning
Commission. Involvement of the states was indirect through the National Development
Council; which is not the case in the NITI Aayog.

NITI Aayog – Structure and Functions

 The Prime Minister is the Chairman of the NITI Aayog.
 He appoints the Vice-Chairman.
 There are 5 full time and 2 part-time members.
 It has a Governing Council which consists of the Chief Ministers of all the states and Lt.
Governors of Union Territories.
 The Regional Councils are formed to address specific issues relating to the states or a
region. It functions for a specific period of time.
 The Prime Minister has the power to invite experts, specialists and practitioners on
particular domains as special invitees.
 The part-time members are from leading universities and research organizations.
 Four members of the Union Council of Ministers are also nominated as ex-officio
members. It also comprises of a Chief Executive officer (CEO).
 The plurality and diversity of the Indian state was recognized by the government.
 The nature of each of the States and Union Territories is different.
 The needs of the people are different, the geographical condition of each of the regions
vary and the economic conditions are different.
 Some states are more developed than other states. So, the government realized that a
uniform plan of development for the entire nation is not the right approach and will not
give desired results.
 Thus, the NITI Aayog was formed so that the needs of each of the regions could be
addressed in the right manner.
Functions of NITI Aayog
1. Cooperative and Competitive Federalism: To enable the states to have active
participation in the formulation of national policy.
2. Shared National Agenda: To evolve a shared vision of national development priorities
and strategies with the active involvement of States.
3. Decentralized Planning: To restructure the planning process into a bottom-up model.
4. Vision and Scenario Planning: To design medium and long-term strategic frameworks
towards India’s future.

5. Network of Expertise: To mainstream external ideas and expertise into government
policies and programmes through collective participation.
6. Harmonization: To facilitate harmonization of actions across different layers of
government, especially when involving cross-cutting and overlapping issues across
multiple sectors; through communication, coordination, collaboration and convergence
amongst all the stakeholders.
7. Conflict Resolution: To provide a platform for mutual consensus to inter-
sectoral, inter-departmental, inter-state as well as centre-state issues for all
speedy execution of the government programmes.
8. Coordinating Interface with the World: It will act nodal point to harness global
expertise and resources coming from International organizations for India’s
developmental process.
9. Internal Consultancy: It provides internal consultancy to Central and State governments
on policy and programmes.
10. Capacity Building: It enables to provide capacity building and technology up-gradation
across government, benchmarking with the latest global trends and providing
managerial and technical know-how.
11. Monitoring and Evaluation: It will monitor the implementation of policies and
programmes and evaluate the impacts.

Objectives of NITI Aayog

Objectives of NITI Aayog
 To include the States in the planning process so that the Central government along with
the State government, could identify developmental priorities and strategies. This would
foster cooperative federalism as the states would be a part of the planning process.
 To formulate credible plans at the village level and aggregate it progressively.
 To ensure that the interests of national security are incorporated in economic strategy
and necessary checks on indiscriminate tampering with ecology and environment policy
and to check whether all sections of the population are benefitted from economic
 Long term policy and programme frameworks to be designed and their progress would
be monitored by the NITI Aayog and innovative improvements would be made.
 Partnership between key stakeholders, like-minded think tanks, educational and policy
research institutions to be encouraged and knowledge, innovation and entrepreneurial
support system to be created through a community of national and international
experts, practitioners and other partners.

 The Commission also offers a platform for resolution of inter-sectoral and inter-
departmental issues so that the developmental programmes can be accelerated.
 It maintains a state-of-art resource centre which will work for research on good
governance and best practices in sustainable and equitable development.
 It will monitor and evaluate the implementation of the programmes so that needed
resources could be identified.
 The NITI Aayog also emphasise on technology upgradation and capacity building for
implementation of programmes and initiatives.
 To undertake other activities that are necessary to further the execution of the national
development agenda.
 Some of the initiatives of the NITI Aayog include “15-year road map”, 7-year vision, Atal
Mission for Rejuvenation and Urban Transformation (AMRUT), Digital India, Atal
Innovation Mission etc.
 The NITI Aayog signed the Sustainable Development Framework for 2018-2022.
 The commitment of the government in attaining the sustainable development goals is
reflected by this.
The areas that are focussed are poverty and urbanization, health, water and sanitation,
education, job creation, gender equality, youth development


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