11TH FIVE YEAR PLAN (2007-2012)

MADE BY:- VARDHMAN JAIN

INTRODUCTION

• THE ELEVENTH FIVE YEAR PLAN (2007-2012) BEGAN IN VERY FAVORABLE CIRCUMSTANCES WITH THE ECONOMY HAVING GROWN AT A RATE OF 7.7% PER YEAR IN THE TENTH PLAN PERIOD.

• HOWEVER, FAR TOO MANY PEOPLE IN THE COUNTRY STILL LACKED THE BASIC REQUIREMENTS FOR A DECENT LIVING IN TERMS OF NUTRITION STANDARDS, ACCESS TO EDUCATION AND BASIC HEALTH, AND ALSO TO OTHER PUBLIC SERVICES SUCH AS WATER SUPPLY AND SEWERAGE.

• MR. MANMOHAN SINGH WAS THE PRIME MINISTER DURING THE ELEVENTH FIVE YEAR PLAN AND THE CHAIRMAN OF THE PLANNING COMMISSION. THE PLAN DOCUMENT IS ENTITLED “TOWARDS FASTER AND MORE INCLUSIVE GROWTH”. THE GROWTH OBJECTIVE WAS TO ACHIEVE AN AVERAGE GROWTH RATE OF 9% PER ANNUM FOR THE PLAN PERIOD.

• AND TO ACHIEVE THE OBJECT 27 NATIONAL LEVEL TARGETS AND 13 STATE LEVEL TARGETS WERE ADOPTED RELATED TO INCOME, POVERTY, EDUCATION, HEALTH, WOMEN AND CHILDREN, INFRASTRUCTURE, AND ENVIRONMENT.

BUDGET

• THE TOTAL PUBLIC SECTOR OUTLAY IN THE ELEVENTH PLAN (BOTH CENTRE AND STATES AND INCLUDING THEIR PUBLIC SECTOR ENTERPRISES) WAS ESTIMATED AT RS. 3644718 CRORES.

• OF THIS TOTAL, THE SHARE OF THE CENTRE (INCLUDING THE PLANS OF PUBLIC SECTOR ENTERPRISES) WAS TO AMOUNT TO RS. 2156571 CRORES, WHILE THAT OF THE STATES AND UNION TERRITORIES (UTS) WAS TO BE RS. 1488147 CRORES.

ALLOCATIONResources Central Government States and UTs Total

1. Balance from Current Revenue

6,39,989 3,85,050 10,39,039

2. Borrowings 7,67,722 6,49,423 14,17,145

3. Net Inflow from abroad - - -

4. Resources of PSEs 10,59,711 1,28,824 11,88,535

5. Aggregate Resources (1 to 4)

24,81,422 11,63,296 36,44,718

6. Assistance to States and UTs

-3,24,851 3,24,851 -

TOTAL RESOURCES 21,56,571 14,88,147 36,44,718

OBJECTIVES

RAPID AND INCLUSIVE GROWTH.(POVERTY REDUCTION)

EMPHASIS ON SOCIAL SECTOR AND DELIVERY OF SERVICE THEREIN.

EMPOWERMENT THROUGH EDUCATION AND SKILL DEVELOPMENT.

REDUCTION OF GENDER INEQUALITY.

ENVIRONMENTAL SUSTAINABILITY.

TO INCREASE THE GROWTH RATE IN AGRICULTURE,INDUSTRY AND SERVICES TO 4%,10% AND 9% RESPECTIVELY.

REDUCE TOTAL FERTILITY RATE TO 2.1

PROVIDE CLEAN DRINKING WATER FOR ALL BY 2009.

MAIN AREAS

• AGRICULTURE

• INFRASTRUCTURE

HIGHWAYS

AIRPORTS

RAILWAYS

POWER GENERATION

• INDUSTRY

• EMPLOYMENT

• EDUCATION

• SOCIAL SECTOR

• RURAL INFRASTRUCTURE: SPECIFIC TARGETS OF BHARAT NIRMAN PROGRAMME FOR THE PERIOD (2005-2009)

IRRIGATION

RURAL ROADS

RURAL HOUSING

RURAL WATER

RURAL ELECTRIFICATION

RURAL TELEPHONE

• HEALTH

NATIONAL TARGETS

• 27 NATIONAL TARGETS WERE ADOPTED FALL IN THE FOLLOWING SIX CATEGORIES.

INCOME AND POVERTY

EDUCATION

HEALTH

WOMEN AND CHILDREN

INFRASTRUCTURE

ENVIRONMENT

INCOME AND POVERTY

• AVERAGE GDP GROWTH RATE OF 9% PER YEAR IN THE ELEVENTH PLAN PERIOD.

• AGRICULTURE GDP GROWTH RATE AT 4% PER YEAR ON THE AVERAGE.

• GENERATION OF 58 MILLION NEW WORK OPPOTUNITUIES.

• 20% RISE IN THE REAL WAGE RATE OF UNSKILLED WORKERS.

EDUCATION

• REDUCTION IN THE DROPOUT RATES OF CHILDREN AT THE ELEMENTARY LEVEL FROM 52.2% IN 2003-04 TO 20% BY 2011-12

• INCREASING THE LITERACY RATE FOR PERSONS OF AGE 7 YEARS OR MORE TO 85% BY 2011-12

• REDUCING THE GENDER GAP IN LITERACY TO 10% POINTS BY 2011-12

HEALTH

• INFANT MORTALITY RATE (IMR) TO BE REDUCED TO 28 BY THE END OF THE ELEVENTH PLAN.

• MATERNAL MORTALITY RATE (MMR) TO BE REDUCED TO 1 PER 1000 BIRTH BY THE END OF THE ELEVENTH PLAN.

• TOTAL FERTILITY RATE TO BE REDUCED TO 2.1 BY THE END OF THE ELEVENTH PLAN.

• CLEAN DRINKING WATER TO BE AVILABLE FOR ALL BY 2009.

WOMEN & CHILDREN

• SEX RARIO FOR AGE GROUP 0-6 TO BE RAISE TO 935 BY 2011-12 AND TO 950 BY 2016-17

• ENSURING THAT AT LEAST 33% OF THE DIRECT AND INDIRECT BENEFICIARIES OF ALL GOVERNMENT SCHEMES ARE WOMEN AND GIRL CHILDREN.

• ENSURING THAT ALL CHILDREN ENJOY A SAFE CHILDHOOD, WITHOUT ANY COMPULSION TO WORK.

INFRASTRUCTURE• TO ENSURE ELECTRICITY CONNECTION TO ALL VILLAGES

AND BPL HOUSEHOLDS BY 2009 AND RELIABLE POWER BY THE END OF THE PLAN.

• TO CONNECT EVERY VILLAGE BY TELEPHONE AND PROVIDE BROADBAND CONNECTIVITY TO ALL VILLAGES BY 2012.

• TO PROVIDE HOMESTEAD SITES TO ALL BY 2012.

ENVIRONMENT

• TO INCREASE FOREST AND TREE COVER BY 5 PERCENTAGE POINTS.

• TO ATTAIN WHO STANDARDS OF AIR QUALITY IN ALL MAJOR CITIES BY 2011-12.

• TO TREAT ALL URBAN WASTE WATER BY 2011-12 TO CLEAN THE RIVER WATERS.

STATE TARGETS13 STATE SPECIFIC TARGETS WERE ADOPTED WERE RELATED TO THE FOLLOWING CATEGORIES.

(I) GDP GROWTH RATE(II) AGRICULTURAL GROWTH RATE(III) NEW WORK OPPORTUNITIES(IV) POVERTY RATIO(V) DROP OUT RATE IN ELEMENTARY SCHOOLS(VI) LITERACY RATE(VII) GENDER GAP IN LITERACY RATE(VIII) INFANT MORTALITY RATE (IMR)(IX) MATERNAL MORTALITY RATIO (MMR)(X) TOTAL FERTILITY RATE (TFR)(XI) CHILD MALNUTRITION(XII) ANEMIA AMONG WOMEN AND GIRLS(XIII) SEX-RATIOAPPROPRIATE POLICIES AND PROGRAMESHAVE TO BE IDENTIFIED BOTH AT THE CENTRAL AND STATE LEVELS SO AS TO ENSURE REALIZATION OF THESE TARGETS IN THE ELEVENTH PLAN PERIOD.

ACHIEVEMENTS• THE ELEVENTH PLAN STARTED WELL WITH THE FIRST YEAR ACHIEVING

A GROWTH RATE OF 9.3 PER CENT.

• THE GROWTH DECELERATED TO 6.7 PER CENT RATE IN 2008-09 FOLLOWING THE GLOBAL FINANCIAL CRISIS.

• THE ECONOMY RECOVERED SUBSTANTIALLY TO REGISTER GROWTH RATES OF 8.6 PER CENT AND 9.3 PER CENT IN 2009-10 AND 2010-11 RESPECTIVELY.

• HOWEVER, THE SECOND BOUT OF GLOBAL SLOWDOWN IN 2011 DUE TO THE SOVEREIGN DEBT CRISIS IN EUROPE COUPLED WITH DOMESTIC FACTORS SUCH AS TIGHT MONETARY POLICY AND SUPPLY SIDE BOTTLENECKS, RESULTED IN DECELERATION OF GROWTH TO 6.2 PER CENT IN 2011-12.

• CONSEQUENTLY, THE AVERAGE ANNUAL GROWTH RATE OF GROSS DOMESTIC PRODUCT (GDP) ACHIEVED DURING THE ELEVENTH PLAN WAS 8 PER CENT, WHICH WAS LOWER THAN THE TARGET BUT BETTER THAN THE TENTH PLAN ACHIEVEMENT.

• SINCE THE PERIOD SAW TWO GLOBAL CRISES - ONE IN 2008 AND ANOTHER IN 2011 – THE 8 PER CENT GROWTH MAY BE TERMED AS SATISFACTORY.

• THE REALIZED GDP GROWTH RATE FOR THE AGRICULTURE, INDUSTRY AND SERVICES SECTOR DURING THE 11TH PLAN PERIOD IS ESTIMATED AT 3.7 PER CENT, 7.2 PER CENT AND 9.7 PER CENT AGAINST THE GROWTH TARGET OF 4 PER CENT, 10-11 PER CENT AND 9-11 PER CENT RESPECTIVELY.

• THE ELEVENTH PLAN SET A TARGET OF 34.8 PER CENT FOR DOMESTIC SAVINGS AND 36.7 PER CENT FOR INVESTMENT. HOWEVER, THE DOMESTIC SAVINGS AND INVESTMENT AVERAGED 33.5 PERCENT AND 36.1 PER CENT OF GDP AT MARKET PRICES RESPECTIVELY IN THE ELEVENTH PLAN WHICH IS BELOW THE TARGET BUT NOT VERY FAR.

• THE LATEST ESTIMATES OF POVERTY RELEASED BY THE PLANNING COMMISSION, POVERTY IN THE COUNTRY HAS DECLINED BY 1.5 PERCENTAGE POINTS PER YEAR BETWEEN 2004-05 AND 2009-10.THE RATE OF DECLINE DURING THE PERIOD 2004-05 TO 2009-10 IS TWICE THE RATE OF DECLINE WITNESSED DURING THE PERIOD 1993-94 TO 2004-05.

FAILURES

• No Substantial Increase in the Standard of Living

• Increase in Unemployment

• Inequality in Distribution of Income and Wealth

• More Ambitious

• Paradox of Saving and Investment

• Predominance of Welfare Considerations

• Less Growth in Productive Sector

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