Economic Growth: Economic planning in India aims at bringing about a rapid economic development in all sectors. The key sectors are agriculture, industry, power and transport. Through rapid economic development the country aims at increasing national and per capita incomes. Thus poverty will be removed and the standard of living improved.
Social Justice: Another major objective of Indian Five Year Plans is to provide social justice to the common man and weaker section of the society. In India, vast disparities in income and wealth distribution is a common feature. Our planners have pledged to the establishment of ‘democratic socialism’ and ‘socialistic pattern of society’. In Second Five Year Plan, we have announced socialistic pattern of society. This fact implies raising of the standard of living of the people who happen to be below poverty line. Our planners believe in narrowing down the gap between the rich and the poor as far as distribution of income and wealth is concerned and ensuring that benefits of growth are not to be swallowed by a handful of riches.
Removal of Poverty: Up to the end of the Fourth Five Year Plan, it was felt that the benefits of development had received a raw deal to tackle the problem of poverty. In the Fifth Plan, there was a visible shift in the approach which resulted in the adoption of Minimum Needs Programme. Earlier to it, there was 20-Point Economic Programme to uplift the village community. According to the new strategy, two programmes were introduced in this plan period. They are Integrated Rural Development programme (IRDP) and National Rural Employment Programme (NREP).
Full Employment: Unemployment problem is a chronic problem in underdeveloped countries. Though, India has emerged as a new developing country, yet it is in the grip of acute problem of disguised unemployment. Thus, the crucial objective of Indian Planning is the creation of conditions for attaining full employment and the elimination of unemployment, under- employment and disguised unemployment.
Modernization: This new objective was categorically mentioned for the first time in the Sixth Plan. Modernization means such a variety of structural and institutional changes in the economic activities that can change a feudal and colonial economy into a progressive and modern economy that produces various types of goods.