Kerala Chief Minister V.D. Satheesan introduced his first state Budget, emphasizing ‘Good Governance and Compassion’ while addressing financial challenges. Satheesan, who also holds the Finance portfolio, highlighted the need for balancing infrastructure development with welfare measures. The Budget aims to create a ‘New Age Kerala’ based on a clear mandate from the government.
Satheesan expressed concerns over Kerala’s financial situation, citing lower own revenue and the need to address KIIFB project funding. He announced the formation of an expert committee to review KIIFB’s operations and prepare for upcoming financial liabilities. The Budget reflects a shortfall of Rs 20,500 crore due to misestimation of the Centre’s share in the previous fiscal year.
The government plans to continue welfare initiatives despite financial constraints, including implementing free travel for women in KSRTC buses and raising ASHA workers’ honorarium. Additionally, the Budget allocates funds to establish 10,000 MSMEs and create an ‘Invest Kerala Cell’ to support investors. Mission Samudra, a project to boost Kerala’s maritime economy, and the development of ports and a Maritime Museum were also unveiled.
To retain young talent, the Budget focuses on employment opportunities and skill utilization within the state. It introduces a comprehensive health scheme and announces projects like an international football stadium and a Kerala School of Architecture. Satheesan aims to transform Kerala into an investment economy, seeking the support of the Kerala diaspora for economic growth.
