- The public sector was envisioned to play a progressively active role.
- It was to lead in building key industries and control “commanding heights” of the economy.
- Industries like arms, atomic energy, railways were state monopolies.
- Basic industries (coal, iron, steel) were under central government.
- Massive investments were made in basic and heavy industries.
- It aimed to accelerate industrial development and achieve self-reliance.
- However, it became inefficient, monopolistic, and a consumer of community’s savings.
- It failed to generate surpluses and deliver social justice effectively.