Second Five Year Plan


 
 
Concept Explanation
 

Second Five Year Plan

Second plan (1956-1961): The second five year plan focused on industry, especially heavy industry. It was designed to implement the new industrial policy and to achieve a socialist pattern of society.

Domestic production of industrial products was encouraged, particularly in the development of the public sector. The plan attempted to determine the optimal allocation of investment between productive sectors in order to maximise long-run economic growth. Hydroelectric power projects and five steel mills at Bhilai. Durgapur, and Jamshedpur were also established. The Atomic Energy Commission was formed in 1957 with Homi J. Bhabha as the first chairman. The Tata Institute of Fundamental Research was established as a research institute.

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