Prime Minister Narendra Modi decommissioned the existing planning commission and the 64-year-old institution was replaced with new one.‘’Niti Ayog" that is going to be the new name for the Planning Commission and from now it will decides the direction of economic strategizing.
The committee will have five full time members and four union ministers. Experts from various fields would also be made members.Earlier Modi had announced in his Independence Day speech that the Planning Commission would be replaced by a new body. Unlike Planning commission, In Niti Ayog states would have a greater role in policy making rather than centre.
Recently Modi held consultations with Chief Ministers of all states and most favoured restructuring of the Planning commission.The Planning Commission was conceived by India's first prime minister Jawaharlal Nehru who thought India's goals and objectives can be best addressed with a planned economy,.This idea was borrowed from the then Soviet Union. It was formed March 15, 1950 and went into formulation from 1951.