Kerala has reacted sharply to the budget presented by the Union government, calling it a total disappointment because of the largesse showered on certain regions and total neglect of states including Kerala. Both the leaders from the ruling CPI(M)-led Left Democratic Front government and in the Opposition were equivocal in criticising the 2024 Union Budget, presented by Nirmala Seetharaman.
This was the first Union Budget after the BJP opened an account in Kerala and the state had hoped that there would be some announcements like allotment of an All India Institute of Medical Sciences (AIIMS) and support to major infrastructural development projects including the Vizhinjam seaport. However, the budget speech didn’t even mention Kerala.
Kerala state finance minister BN Balagopal called it a politically motivated budget. “This budget is a life-saving exercise for the NDA coalition. Usually, the budget should be focused on progress, wellbeing and development of the nation and the people. But here as a coalition government, this budget seems to be only considering their own wellbeing and longevity, rather than addressing the needs of the states. This budget is unwilling to address any of the legitimate needs of the state. It is an anti-Kerala budget,” he said.
Kerala had raised several demands including approval for the Silver Line, a semi high speed railway project, Rs 5,000 crore package for Vizhinjam port, another Rs 5,000 crore for the construction of the Wayanad tunnel, re-evaluation of tax share in the ratio 40:60 (at present the Goods and Services Tax (GST) revenue is shared between the Union and state in the 50:50 ratio), setting the minimum support price for rubber as Rs 250 and increasing the share for the school mid-day meal scheme. However, none of these demands were considered.
“The budget mentions several employment-related issues. However, apart from the announcements there is not much difference in the allocated funds between the previous year budget and this year’s budget,” he added.
VD Satheesan, the Leader of the Opposition in Kerala said the budget only contains political interests, not a national perspective. “When Andhra Pradesh and Bhihar were allocated a lot in the budget, the finance minister did not even mention the word Kerala, which is highly condemnable,” he said.
“Kerala was completely neglected in agriculture, labour and coastal sectors. Kerala was not mentioned in the disaster relief package. The promise they made during the election, AIIMS, was not fulfilled,” Satheesan said. Suresh Gopi, the Union minister of state for Tourism, Petroleum and Natural Gas, had promised to bring AIIMS to the state during his election campaigns. Though the state government had taken to make 150 acres of land available in Kozhikode, Suresh Gopi had stated that he does not prefer the location.
However, while speaking with the media after the budget announcement, Suresh Gopi reiterated that he will bring AIIMS to the state.
Satheesan said despite the setback in the 2024 election, the Modi government is continuing their support to the corporates at the expense of ordinary people.
Congress MP from Thiruvananthapuram Shashi Tharoor expressed his disappointment with the Union Budget 2024 and described it as ‘underwhelming.’ “I didn't hear anything about the common man's key issues. There is no mention of the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA). There was no mention or insufficient mention of steps taken to improve the income of a common person. We have seen far too little from the government on addressing income disparity. On job creation, a token gesture was made,” he said. He however welcomed the provision to abolish tax on angel investors.
The LDF and UDF MPs from Kerala stated that they will fight against the negligence towards Kerala unitedly.
“It was a disappointing budget for Kerala, Karnataka, and Tamil Nadu. Kerala has two Union ministers, but they can’t do anything for the state,” said Rajmohan Unnithan, Congress MP representing Kasaragod.
Kollam MP NK Premachandran said there are no new projects or schemes in this budget. “There is no project to address unemployment and inflation,” he said.