The Plan, therefore, aimed at achieving a pattern of development which would ultimately lead to the establishment of socialistic pattern of society in India. In particular, stress was laid to ensure that the benefit of economic development should go to the economically weaker and less privileged sections of the society.
And money should not be allowed to concentrate into few hands. Rather there should be continuous reduction in the concentration of income, wealth and economic power.
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Aims:
The main aims of the Plan were:
(i) An increase of 25 per cent in the national income;
(ii) Rapid industrialisation particularly development of basic and heavy industries;
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(iii) Large expansion of employment opportunities;
(iv) Reduction of inequalities in income and wealth and more even distribution of economic power;
(v) The plan also aimed at increasing the rate of investment from about 7 per cent of the national income to 11 per cent by 1960-61; and
(vi) Special stress was laid on industrialisation – increase in production of iron and steel, heavy chemicals, including nitrogenous fertilizers and development of heavy engineering and machine building industry.
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Achievements:
During the Plan an era of heavy industry was started in the country under the able leadership of Pt. Jawaharlal Nehru. The national income went up by 20 per cent as against the target of 25 per cent.
The work at three steel plants Durgapur Bhilai and Rourkela was started during this period. On the other hand, agriculture and small scale industries received less attention. Because “of acute shortage of foreign exchange, the Plan faced difficulty in furtherance of its objectives. As a result, there was greater deficit at the end of this Plan.