Development Board
In-spite of the grave economic and financial problems which beset the Government of Pakistan soon after independence,a Development Board was established early in 1948 in Economic Affairs Division to deal with questions of rapid economic development of the country. In 1950 a Six-Year Development Plan was formulated and embodied in the Colombo Plan for Cooperative Economic Development in South and South East Asia. This was essentially an outline plan and delineated only a broad pattern of development.
Planning Board
To prepare a more comprehensive national plan of development, the Government of Pakistan decided to set up a Planning Board on 18th July, 1953, with Mr. Zahid Hussain, ex-Governor of State Bank of Pakistan as its first Chairman and two other members. The purpose and terms of reference of the Board were set forth as below:-
Purpose:
The economic and social objectives of Government's Policy are to develop the resources of the country as rapidly as possible so as to promote the welfare of the people, provide adequate living standards, and social services, secure social justice and equality of opportunity to all and aim at the widest and most equitable distribution of national wealth.
Terms of Reference:
i. To review the development that has taken place since independence.
ii. To assess the resources - material and human, which can be made available for development during the next 5 years beginning from April, 1954 (later changed to April, 1955).
iii. To prepare a national plan of development based on the fullest possible utilisation of these resources for implementation in a period of 5 years from Ist April, 1955 as a step towards the attainment of the economic and social objectives of Government's policy.
iv. To make proposals regarding the administrative machinery best calculated to assure the successful implementation of the plan.
v. To make proposals regarding the administrative machinery best calculated to assure the successful implementation of the plan.
vi. To make any other recommendations which in the opinion of the Board will contribute towards the successful implementation of the plan.
Functions:
To prepare future five year plans of economic and social development.
To make additions and alterations in the existing five year plan consistent with the changing economic conditions of the country.
i. To tender such technical advice and offer such comments on financial matters bearing on the development plans as may be requested by the Ministries of Government.
ii. To stimulate and, where necessary, to initiate the preparation of schemes required to achieve national objectives in the economic and social fields.
iii. To examine development schemes, programmes and proposals with a view to their inclusion in the plans of development.
iv. To maintain a continuous and constant review of the progress of development, the benefits realised, and the difficulties experienced.
v. To maintain a continuous review of the economic conditions of the country so far as these have a bearing on the development plans.
vi. To submit such periodic reports as the Government may desire from time to time.
vii. To encourage the improvement and expansion of research (in particular economic research), statistics, surveys, and investigations and evaluation needed to support effective planning and development in the country.
viii. Generally to advise the Government on economic policies and problems in various fields so far as these have a bearing on the development plans.
The Board accordingly prepared and submitted a five year plan for the period 1955-1960 in 1957 (known as the first five year plan) which was approved in principle by the National Economic Council.
In order to assist the further economic and social development of the country, and in particular to assist progress towards the objectives stated in Sections 28 and 29 of the Constitution, a permanent Planning Board was established vide Ministry of Economic Affairs Resolution No. 129(3)PP/53 dated 20th April, 1957.
The Board was to consist of a Chairman and atleast two members one of whom was designated as Deputy Chairman. The Prime Minister agreed to assume the office of the Chairman of the Board.
Mr. Said Hasan was appointed as the Deputy Chairman of the Planning Board with effect from April 17, 1957.
Planning Commission
Subsequently, vide the Government of Pakistan Notification No. Cord(I)-8/84/58-I, dated the 22nd October 1958, the President was pleased to re-designate the National Planning Board as the Planning Commission. Cabinet Division's Resolution No. Cord(I)-8/29/59-III dated 3rd June, 1959 defined its objectives in the following terms.
The economic and social objectives of the Government are to promote the welfare of the people and raise the standard of living of common man by developing to the utmost the resources of the country as rapidly as possible by making provision for the basic necessities of life, educational and health facilities, and work under just and human conditions; by ensuring equitable adjustment of rights relating to the ownership and use of land and between employers and employees; and by preventing the concentration of wealth and means of production and distribution in a few hands to the detriment of the people as a whole; and by securing social justice and equal opportunity to all.
Consistent with these objectives, the functions of the Planning Commission were to be :
i. In consultation with the Central and Provincial Governments and other appropriate agencies:-
a. to prepare a national plan at periodic intervals for the economic and social development of the country;
b. to make assessments from time to time of the human and material resources of the country; and
c. to prepare the Annual Development Programme (ADP) within the framework of the national plan and on determination of priorities, to propose the allocation of resources.
ii. To stimulate and where necessary initiate the preparation of development programmes and projects; to examine and advise on all such programmes and projects with a view to deciding whether these conform to national objectives and, in general, whether these contemplate the most efficient use of national resources.
iii. To recommend such adjustments in the national plans as may be necessary in view of the changing economic situation.
iv. To co-ordinate the examination of development programmes and projects in consultation with the appropriate authorities and to secure the approval of the Central Government to acceptable programmes and projects.
v. To advise on the nature of the machinery for securing the efficient execution of the national plan.
vi. To watch and evaluate the progress of implementation of the development program
vii. To advise on important economic policies and problems of various fields.
viii. To advise the Central and Provincial Governments, whenever so required, on economic policies and problems.
ix. Development of appropriate cost and physical standards for effective technical and economic appraisal of projects.
x. Coordination of all work pertaining to:
a. Indonesia - Pakistan Economic and Cultural Cooperation (IPECC);
b. Iran - Pakistan Joint Ministerial Commission;
c. Turkish - Pakistan Joint Ministerial Commission.