- Rationale:
- Failure of the Third Plan.
- Failure of rupee devaluation to boost exports.
- Inflationary recession.
- These factors led to the postponement of the Fourth Five-Year Plan.
- Outcomes:
- Three Annual Plans were introduced instead.
- Emphasis was placed on agriculture due to prevailing crisis and food shortage.
- A new agricultural strategy was implemented (HYV seeds, fertilizers, irrigation).