New Delhi: In her Union Budget speech on Tuesday, Finance Minister Nirmala Sitharaman made various important announcements but did not mention Kerala even once, leaving the state’s key expectations unaddressed. Kerala, which was eagerly awaiting the budget, had anticipated a special package of Rs 5,000 crore for the ongoing Vizhinjam International Port project and the release of the Union Government’s share of Rs 3,686 crore spent on centrally sponsored schemes.
Kerala Finance Minister recently highlighted the Union Government’s reduction of funds, cap on borrowing limits, and perceived indifference, which have been placing a heavy burden on the state. During a State Finance Ministers’ meeting, convened by Sitharaman as part of the pre-budget consultations, Kerala had reiterated its demands, including:
- A special economic package of Rs 24,000 crore.
- A review of the Union Government’s stance on off-budget borrowings by the Kerala Infrastructure Investment Fund Board and the Kerala Social Security Pension.
- An increase in the state’s share in Centrally sponsored schemes from 60% to 75%.
- A hike in the support price of rubber to Rs 250 per kg.
- The establishment of an All India Institute of Medical Sciences (AIIMS) and the Kannur International Ayurveda Research Institute.
Furthermore, Kerala urged the Union Government to expedite permissions for the SilverLine project, citing the urgent need to address the inadequacy of current railway infrastructure in meeting escalating rail traffic demands. Despite these significant requests, Kerala’s expectations were overlooked in the Union Budget 2024.
