Reasons for the Formation of NITI Aayog

NITI Aayog was established in January 2015 to replace the Planning Commission, which was criticized for its top-down approach and inefficiency. The key reasons for its formation include:

1. Decentralization: The need to shift from a centralised planning model to a more bottom-up approach.
2. Flexible Policy-making: To adapt quickly to changing economic scenarios and focus on sustainable development.
3. State Empowerment: To enhance the role of states in economic planning and policy implementation.

Objectives of NITI Aayog

1. Foster Cooperative Federalism: Encourage cooperative federalism by promoting a collaborative model between the central and state governments.
2. Innovative Policy Solutions: Develop innovative and integrated strategies for economic growth and social development.
3. Data-Driven Policy Making: Use data and evidence to create informed policies for better governance.

Functions of NITI Aayog

1. Strategic Planning: Formulate long-term strategies and policy frameworks.
2. Monitoring and Evaluation: Oversee and evaluate the implementation of government schemes.
3. Capacity Building: Support state governments in capacity building and policy formulation.

Recent Re-organization of NITI Aayog

In 2023, NITI Aayog underwent a significant re-organization to enhance its effectiveness. The major changes include:

1. Enhanced Role of Regional Councils: Regional councils were strengthened to better address regional disparities and promote balanced development.
2. Focus on Emerging Technologies: Greater emphasis was placed on integrating emerging technologies and innovation in policy-making.
3. Strengthening State Collaborations: The re-organization aimed at improving collaboration with states through increased interaction mechanisms and state-specific strategies.

These changes are intended to make NITI Aayog more responsive and adaptive to the evolving socio-economic landscape of India.