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Indian Economy / Development Planning

Composition and Functions of NITI Aayog


    The National Institution for Transforming India ( NITI ) Aayog, which is a kind of policy think tank, was established in 2015 by the Government of India. The composition and functions of NITI Aayog, which replaced Planning Commission, are somewhat different from the Planning Commission. Planning Commission followed a top-down model in its approach whereas functions of NITI Aayog are done in a bottom-up approach in accomplishing sustainable development goals and in improving cooperative federalism by promoting the State Governments to involve in the economic policy-making.

    Composition of NITI Aayog

    • The Prime Minister of India is ex-officio chairman of NITI Aayog.
    • The Governing Council members are Chief Ministers of all the States and heads of the Union Territories.
    • Regional Councils members are the Chief Ministers of the States and heads of the Union Territories of particular regions.
    • There will be a Vice Chairman, who will be appointed by the Prime Minister.
    • There will be some full time members ( number not specified ) and two part-time members, who are from research organizations, reputed universities and relevant institutions.
    • There will be four ex-officio members from Union Council of Ministers.
    • There would be a Chief Executive Officer ( CEO ) ( having the rank of a Secretary to Government of India ) for looking after administration and there will be a Secretariat.
    • There will be some special invitees, who are experts, specialists and practitioners having relevant domain knowledge in various fields and are nominated by Prime Minister.

    Functions of NITI Aayog

    • With the active participation of different States, NITI Aayog works out a common vision of national development strategies, priorities and sectors in the perspective of national objectives.
    • As NITI Aayog follows bottom-up approach, it tries to devise plans at the village level and aggregates them at higher levels of government.
    • One of the main functions of NITI Aayog is to promote cooperative federalism between the States and the Centre by accepting the fact that strong States create a strong nation.
    • When the economy progresses, it pays special attention for inclusive growth of all the sections of our society so that everyone gets the fruits of the progressing economy.
    • When required, it ensures that the concerns of national security are integrated into the economic strategy and policy.
    • It is involved in designing policies and programmes and monitoring the advancement in their implementation and taking corrective actions and making innovative improvements if necessary, by taking regular feedbacks.
    • It gives advice and promotes partnerships between important stakeholders like Education and Policy Research Institutions, national and the international Think Tanks, etc.
    • It creates an innovative, entrepreneurial and a knowledge based support system by collaborating different stakeholders like national and international experts, specialists, practitioners and other relevant partners.
    • It will maintain a highest level Resource Centre which can act a repository of research on good governance and the best practices that are followed in equitable and sustainable development and help in distributing them to the concerned stakeholders.
    • It will act as a platform for solving the issues between different departments and between different sectors for accelerating the implementation of developmental programmes.
    • It focuses on capacity building and upgrading the required technology for implementation of developmental programmes and initiatives.
    • The composition of NITI Aayog is done in such a way that it can approach an issue in an all inclusive manner. Other functions of NITI Aayog are to continuously search for and undertake activities that are necessary to boost the execution of the developmental activities and objectives that are specified above.