Second Five Year Plan

• The second five year plan was bolder than the first five year plan 
• It involves the plan of development of both Urban and Rural India 

Objectives

• It involves the Rapid Industrialisation 
• Rebuild rural India and to advance towards the socialistic pattern of Society 

Achievements : Growth rate of 4.1 % per annum (Target : 4.5%)

Other Features

Construction of Steel plants in Bhiali (Chhattisgharh), Durgapur (West Bengal) and Rourkela (Odisha)
Deficit Financing started in this plan


Deficit Finance: Government spend more money than it receives as revenue, the difference is made up by borrowing or minting new funds