New Plan paper likely by Jan

Having overshot the November deadline set by Prime Minister Manmohan Singh, the approach paper for the 11th Five-Year Plan, which is expected to peg GDP growth rate at over 8 per cent, is now expected to be ready sometime next month.

The prime minister wanted the approach paper, which would spell out guidelines including the growth rate for the 11th Plan (2007-12), to be ready in November. He had also wanted the paper to be placed before the Cabinet for its approval this month, before it was taken up by the National Development Council in January next year for final nod.

Singh had said this in his address at the 51st meeting of the NDC in June this year. "It is going to take time. We are working on it. Planning Commission member Kirit Parekh is preparing the draft," Planning Commission Deputy Chairman Montek Singh Ahluwalia said.

"We are also looking at aiming for higher than 8 per cent growth in the 11th Plan," he said.

The prime minister is talking of a 10 per cent growth and I feel this is feasible if manufacturing and services sector grow rapidly in double digit," he said.

Development of infrastructure, agriculture sector growth and private investments would also play a significant role in determining the growth rate for the 11th Plan period, he added.

But now the entire process for the approach paper is running much behind schedule as the inputs from the two NDC sub-committees on agriculture and state finances are also awaited and is likely to come next month.

The commission has started plan discussions with the states only from November 15.

Discussions with the states would form a major input to the paper as state finances are in a bad shape. Their financial health and capability to take up developmental work would be a significant determinant for the growth rate in the next five year Plan.

Also, the final inputs from different ministries and departments are still on its way to the commission.