Finance Minister K.N. Balagopal on Saturday voiced Kerala’s expectations for a better deal in the Union Budget this time, expressing his hope that the changed political situation in the country would pressure the Centre to pay more attention to welfare-oriented measures.
Topping State’s wish-list is a ₹24,000 crore special economic package “to tide over the current liquidity stress by scheduling it over a period of 2 years from 2024-25.”
The State government has not plucked the figure, ₹24,000 crore, out of the air. Rather, it is meant to fill the gap caused by the cuts in the State’s borrowing limit during the 2022-23 and 2023-24 fiscals, Mr. Balagopal said.
Mr. Balagopal had presented the State’s demands at the pre-Budget consultation held by Ms. Sitharaman in New Delhi June.
Among the State’s demands include a ₹5,000 crore ‘special assistance’ for the Vizhinjam international seaport project, and an unconditional permission to borrow ₹6,000 crore in the current fiscal in lieu of the money spent on loan acquisition by the State for National Highway development. Kerala had urged the Centre to treat the ₹5,580 crore spent by the State thus far as additional capital expenditure for national highway.
In the rail sector, Kerala has sought speedy clearance for the SilverLine semi-high speed rail project, surveys DPR preparation for the Thalassery-Mysuru and Nilambur-Nanjangud rail lines and more express and passenger trains.
Kerala has also reiterated its demand for an All India Institute of Medical Sciences (AIIMS), and the Kannur International Ayurveda Research Institute. For the ailing rubber sector, the State has urged the Centre to raise the support price to ₹250 per kg.
“Our demand for an AIIMS is fully justified. Our request has been pending for 10 years. For a State like Kerala, an AIIMS should been sanctioned long ago,” he said.
On Saturday, Mr. Balagopal also drew attention to the large sums pending from the Centre towards health grant (₹725 crore), grants for local bodies (₹513 crore) and the National Health Mission (₹636 crore).
