How are principles followed by the NITI Aayog different from those followed by erstwhile Planning Commission in India?. (UPSC IAS Mains 2018 General Studies Paper – 3)
National Institution for Transforming India, better known as NITI Aayog, was formed via a resolution of the Union Cabinet on 1 January 2015. NITI Aayog is the premier policy think tank of the Government of India, providing directional and policy inputs. Apart from designing strategic and long-term policies and programmes for the Government of India, NITI Aayog also provides relevant technical advice to the Centre, States, and Union Territories.
Difference between principles followed by NITI Aayog and Planning Commission
- NITI Aayog has followed a bottom-up approach in policy formulation unlike Planning Commission which followed a top-down approach
- The planning commission is essentially a democratic socialism-based welfare state body, while NITI ayog aims for competitive federalism between states in a free market economy.
- Planning Commission made five-year plans depending on the needs of the nation which were prescriptive in nature. NITI Aayog provides solutions as an advisory body and Think-tank.
- NITI ayog works on participatory decision making along with states while the Planning commission was largely a centralized decision-making body
- The planning commission used to allocate funds to states NITI ayog is an only advisory body.
- The Planning Commission is fundamentally a central government body without state representation, NITI ayog promotes cooperative federalism along with states.
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