PM to announce role for Planning Commission shortly: Jaitley

Tags: News
Prime Minister Narendra Modi will shortly announce the role that Planning Commission is going to play in his government, Finance Minister Arun Jaitley has said.

Last month, the Independent Evaluation Office (IEO) had said that Planning Commission acted as a 'control commission' and should be replaced by a 'reforms and solution body'.

More than one and half months after BJP swept to power, the new government is yet to announce the new Deputy Chairman of Planning Commission, in place of Montek Singh Ahluwalia who held the post for almost a decade under the UPA regime.

"Prime Minister will make an announcement on this," Jaitley told PTI in an interview here.

He was asked what role the BJP government envisaged for the Planning Commission.

"Please wait you will hear soon (on the issue)," he said without elaborating.

IEO, which was set up for assessing the effectiveness of government programmes and institutional policies, in its report recommended that the Planning Commission's role as an allocator of resources to the states should be taken up by the Finance Commission and the allocation of resources amongst the Central Ministries should be carried out by the Finance Ministry.

The assessment sent to the Prime Minister recommended that a new think-tank be set up with experts of domain knowledge to replace the plan body.

"It is clear that the Planning Commission in its current form and function is a hindrance not a help to India's development. In my experience it is not easy to reform such a large ossified body and it would be better to replace it with a new body that is needed to assist states in ideas, to provide long term thinking and to help cross cutting reforms" said IEO's Director General Ajay Chhibber.

As per the assessment, the opaqueness in the functioning of the Planning Commission is a matter of concern considering its role as a major allocator of resources to states and central ministries.

EDITORIAL OF THE DAY

  • Sebi’s guidelines for commodity bourses will help farmers get fair price

    As the timeline for the proposed merger of the Forward Market Commission (FMC) with the Securities and Exchange Board of India (Sebi) comes closer, th

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Urs Schoettli

The China story isn’t over yet

China’s financial markets are currently in the eye of a ...

Anuja Sharma

Love yourself to love others

“There are two basic motivating forces: fear and love. When ...

Gautam Gupta

It's a 'blog eat blog' world out there

Let me tell you, fashion journalism has truly taken the ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture