Question

 

What is NITI Aayog, its history, purpose, and structure?

21 Jan 2026
Answer :
Word Count : 702
NITI Aayog, which stands for the National Institution for Transforming India, is a policy think tank and an advisory body of the Government of India. It was established on January 1, 2015, replacing the erstwhile Planning Commission, to better reflect the new economic and developmental priorities of the country. The primary purpose of NITI Aayog is to foster cooperative federalism through structured support initiatives and mechanisms with the states on a continuous basis, recognizing that India’s development is a shared responsibility between the Centre and the states. The history of NITI Aayog is closely linked to the transformation of India’s economic planning framework. The Planning Commission was created in 1950 and followed a centralized planning approach that involved top-down allocation of resources and directives. Over the decades, this approach was seen as increasingly inadequate due to India’s diverse and dynamic economic landscape. Recognizing the need for a more flexible, inclusive, and cooperative model of planning, the government replaced the Planning Commission with NITI Aayog in 2015. This shift was intended to move away from rigid five-year plans towards a more outcome-oriented and strategic framework for development, emphasizing innovation, technology, and sustainable growth. The purpose of NITI Aayog is multifaceted. Firstly, it acts as a policy think tank, providing strategic and technical advice to the central and state governments on matters of economic development and social welfare. Unlike the Planning Commission, it does not allocate funds but rather guides policy formulation based on evidence and research. Secondly, NITI Aayog facilitates cooperative federalism by promoting
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