The need of multi – level planning in countries like India is as follows:
1. India is a democratic country and has federal (Union of States) system where states have autonomy in many areas and these states play an important role in execution of planning.
2. Centralized planning results in regional inequality, and small – level problems are ignored. Multi – level planning is a solution to this.
3. Multi – level planning can be a solution to the problem of the poor and by the involvement of people this problem can be solved.