Just before a decade or so before India becmae independetnt, British Raj had started the practice of planning for a period.formally established a planning board that functioned from 1944 to 1946 which was comprising of private industrialists and economist.After independence, the Planning Commission was set up on 15 March 1950, by the Government of India, which formulates India’s Five-Year Plans, among other functions. Planning Commission though is a non statutory as well extra constitutional body, i.e. has been brought by an executive order.
The first Five-year Plan was launched in 1951 and two subsequent five-year plans were formulated till 1965, when there was a break because of the Indo-Pakistan Conflict. Two successive years of drought, devaluation of the currency, a general rise in prices and erosion of resources disrupted the planning process and after three Annual Plans between 1966 and 1969, the fourth Five-year plan was started in 1969.