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How are the principles followed by the NITI Aayog different from those followed by the erstwhile Planning Commission in India?

NITI Aayog, established in 2015, replaced the Planning Commission to reflect India’s transition from a centralized planned economy to a market-led, cooperative federalist model.

Key Differences Between Planning Commission and NITI Aayog

Similarities Between NITI Aayog and Planning Commission

National Development Objective

Advisory Role to Government

Coordination Function

Focus on Long-term Vision

Multisectoral Engagement

Importance of of NITI Aayog

Reflects shift from state-led to market-led development model

Improves Centre-State cooperation for faster execution

Enhances accountability and outcome-based governance

Encourages policy experimentation and innovation

NITI Aayog reflects India’s evolving needs as a 21st-century, globally integrated economy.