The Keralam Model has long been regarded as one of India's most distinctive development experiences. Public investment in health and education, high literacy, better living standards and social welfare have helped the state maintain impressive human development indices. Yet alongside these achievements, Keralam has seen changes in its politics, economy, and society that raise questions about the sustainability of its development path.
As Keralam completes 70 years since its formation on November 1, 1956, several questions remain about how it has reached this point and what it needs to do to sustain its achievements. TNIE examines the state's achievements, contradictions and the challenges ahead.
Q&A
How has Keralam's political landscape evolved over seven decades?
Keralam's political journey began with a historic development in 1957, when the world's first democratically elected Communist government came to power. However, the EMS Namboodiripad government also made history as the first state government to be dismissed by the President under Article 356 of the Constitution.
The following years witnessed considerable political churn, with different governments alternating in power and smaller parties moving between political formations. A major change came in 1964, when two significant political developments reshaped the state's political landscape. The Communist Party of India split, leading to the formation of the Communist Party of India (Marxist), which became a major political force in Kerala. The Kerala Congress also emerged during the same period and became known for its repeated splits and mergers. Its various factions have, at different times, been part of governments, making it a persistent player in the state's coalition politics.
By 1979, the political alliances had consolidated into two formations: the Left Democratic Front (LDF) and the United Democratic Front (UDF). The two-front arrangement became the defining feature of Keralam politics for the following decades.
Curiously, neither the Indian National Congress nor the CPI can claim absolute ideological consistency in choosing electoral allies. Political compulsions and coalition strategies have often taken precedence over ideological affinity.
The bipolar arrangement continued into the early 2000s. The BJP-led NDA won its first Lok Sabha seat from Keralam in 2004, bringing a third political formation into the picture. However, it remained largely inconsequential in state politics until the BJP secured its first electoral victory in the Assembly in 2016.
Today, the traditional bipolar political landscape has given way to a triangular contest, with the two established fronts frequently engaging in a blame game over the third player's entry.
How did Keralam move from an agrarian economy to one dependent on remittances?
The state was an agrarian economy in the 1950s and early 1960s. The historic Land Reforms Act of 1970 was a key catalyst in transforming Keralam from a feudal agrarian hierarchy into a rural economy. However, the large-scale migration of Malayalis to the oil-rich Middle East, particularly from the mid-1960s to the 1970s, brought about another major shift. Gulf remittances became a principal driver of the state's economy for decades.
According to the Keralam Migration Survey 2023, remittances reached ₹2,16,893 crore in 2023, a 154.9% increase from ₹85,092 crore in 2018. They account for approximately 23.2% of Keralam's Gross State Domestic Product (GSDP), making the state's reliance on remittances the highest among major states in the country.
The transformation also affected agriculture. Shrinking landholdings and the large-scale conversion of paddy fields and wetlands led to a substantial decline in farming. The growing preference for commercial cash and plantation crops such as rubber, coconut and pepper further altered farmers' choices, gradually undermining paddy cultivation.
What explains Keralam's shift from environmental activism to resistance against conservation?
Keralam's environmental history offers another striking contrast. Once known for its grassroots green movements and environmentally conscious population, the state is now witnessing growing resistance to measures aimed at protecting ecologically sensitive areas.
The Silent Valley movement of the late 1970s, the Save Chaliyar movement in Mavoor, the anti-Endosulfan agitations of the 1990s and the Plachimada Coca-Cola struggle of the 2000s reflected a strong tradition of environmental activism.
The Silent Valley campaign, supported by environmentalists, poet Sugathakumari and organisations such as the Kerala Sasthra Sahithya Parishad, put pressure on then Prime Minister Indira Gandhi to scrap a hydel project.
That tradition stands in sharp contrast to the state's present position on environmental conservation. The Madhav Gadgil report, which proposed measures to protect the Western Ghats, received little support in Keralam. Opposition to its recommendations gained ground, with political parties increasingly using the issue for electoral gains.
The state is now pressing the Centre to reduce the proposed extent of Ecologically Sensitive Areas (ESAs) from 9,993.7 sq km to 8,590.69 sq km and cut the number of ESA villages from 131 to 98.
The state's approach to environmental protection has also come under scrutiny over repeated attempts to dilute the Paddy and Wetlands Act, which seeks to prevent illegal reclamation by the real estate mafia. Unscientific quarrying and indiscriminate construction have added to the problem.
The consequences are increasingly evident in recurring floods, landslides, urban flooding and coastal erosion, leaving the state vulnerable to the effects of climate change.
Why does superstition persist in a state known for its literacy and renaissance movements?
Keralam's reputation as a progressive society is rooted in its 19th-century renaissance, led by spiritual and social reformers such as Sree Narayana Guru. Anti-caste struggles, temple entry movements and campaigns for social equality helped challenge entrenched hierarchies even before the formation of the state.
Movements led by the Kerala Sasthra Sahithya Parishad and the Yukthivadi Sangham also played a key role in promoting scientific temper and rational thinking among the masses.
Yet, superstition, black magic and occult practices continue to find followers. The 2022 Elanthoor human sacrifice case, in which two women were allegedly killed after being lured into participating in a ritualistic human sacrifice, exposed the persistence of such beliefs. Available data show that Keralam recorded 36 cases of black magic and sorcery over the last five years.
The mushrooming of faith healers, occult practitioners and self-styled godmen has further blurred the distinction between faith and superstition. Curiously, even well-known academics and professionals have at times openly promoted faith healing.
The controversy surrounding the Supreme Court verdict allowing women of all ages to enter the Sabarimala temple also exposed tensions between constitutional principles, religious practices and social attitudes. The verdict's political and social repercussions continue to be felt in the state.
Why has high female literacy not translated into greater workforce participation?
One of Keralam's most persistent social contradictions is the low participation of women in the workforce, despite their substantial representation in higher education.
Many highly qualified women remain outside the labour market or struggle to find employment. Deep-rooted patriarchal attitudes in society continue to influence women's access to work and economic independence.
According to a 2024 report by the Centre for Public Policy Research, labour force participation among people aged 15 and above stood at 70% for men, compared with just 29.9% for women.
The gender imbalance is also evident among job seekers. Women account for 63.9% of those seeking employment in the state, compared with 36.1% of men.
The figures point to a significant gap between educational achievement and economic participation, raising questions about the opportunities available to women in the state.
Why are ageing and youth migration emerging as major concerns?
Keralam's demographic transition is emerging as one of its most pressing long-term challenges. An ageing population, declining birth rates and the growing migration of young people are reshaping the state's social and economic landscape.
People aged 60 and above accounted for 16.5% of Keralam's population in 2021. This share is projected to rise to 20.9% in 2031 and approximately 23% by 2036. In other words, more than one-fifth of the state's population will be senior citizens within the next five years.
The changing age profile is also reflected in the declining share of children. The share of the population aged 0-14 fell from 40.3% in 1971 to 20.4% in 2021.
The growing elderly population highlights the need for a well-developed care economy and efforts to build a silver economy that can tap the potential of senior citizens.
However, the challenge is compounded by the steady migration of young people. While overseas migration once brought substantial foreign exchange into the state, the growing departure of students and young professionals has raised concerns about its future workforce.
The Keralam Migration Survey points to a sharp increase in student migration, from approximately 1.29 lakh in 2018 to 2.5 lakh in 2023. Students are increasingly opting for overseas destinations, often on a more or less permanent basis, attracted by better educational opportunities and living standards.
Despite repeated announcements about global universities and Centres of Excellence, successive governments have done little to create an educational environment that can retain ambitious students.
The result is increasingly visible in neighbourhoods across Keralam, with a growing number of homes left vacant as younger generations move elsewhere.
Why has Keralam struggled to attract industrial investment?
Trade union militancy and labour practices such as “nokkukooli” (the now-banned practice literally meant ‘gawking wages’ that organised trade unions or headload workers demanded from employers, households, or shopkeepers just for watching loading and unloading work) have long been associated with Keralam's difficult investment climate. Trade unions have undeniably contributed to the state's poor industrial growth, even as their role in labourmobilisation remains part of its political and economic history.
While successive governments have consistently emphasised the public sector, the overemphasis on keeping private investment at arm's length has also nurtured an anti-investment environment. Trade unionism has historically been one of the biggest hindrances to investors.
The difficulties investors face are not merely a matter of perception. State Planning Board member G Vijayaraghavan, founder CEO of Keralam's first IT Park, Technopark, recently recalled to TNIE how a section of trade unions tried to challenge the ambitious project in its early stages.
With no major efforts towards economic expansion, Keralam continues to struggle with industrial stagnation. Unless the state addresses its labour-related concerns and demonstrates the political will to encourage investment, its industrial growth ambitions will remain constrained.
How has a state known for secularism become more vulnerable to communal tensions?
Keralam has long been known for the peaceful coexistence of different religious communities, their willingness to celebrate each other's festivals and the relative absence of hate campaigns. Although the state has witnessed communal violence, incidents such as the Poonthura riots of 1992, the Marad riots in the early 2000s, and the Nadapuram violence more than a decade later were largely seen as exceptions.
However incidents of communal colour have become more frequent. Political attempts to woo minority communities for electoral gains, along with the growing influence of social media, have contributed to an increase in hate speech, communally charged campaigns and inflammatory online posts.
The shift raises concerns about the resilience of Keralam's secular social fabric, long considered one of the defining features of the state's development experience.
What achievements continue to distinguish the Keralam Model?
Despite its contradictions, Keralam's journey has delivered several significant achievements. The transformation from widespread poverty to the declaration of freedom from extreme poverty, high literacy, better living standards and sustained investment in health and education remain major milestones.
In the 1970s, Keralam was among the poorer states in the country, with its average income at around two-thirds of the national average. This economic situation was one factor that drove large-scale migration to the Gulf.
By 2022, its per capita income had risen to 50-60% above the national average. In November 2025, Keralam declared itself free from extreme poverty. Its living standards also remain relatively high compared with those of most other states.
After land reform, the People's Planning programme introduced in 1996 marked a major shift towards democratic decentralisation by placing people's participation at the centre of local development. The initiative gave local self-government institutions a greater role in planning and implementing development programmes, bringing about a radical change in the state's development approach for decades.
The continued emphasis on welfare is another defining feature. Successive governments have kept social security measures central to governance. Nearly 60 lakh people in Keralam receive social security and welfare pensions. While this approach has drawn criticism from economists over its financial implications, it has remained a consistent feature of the state's commitment to a welfare model.
What are the biggest challenges facing Keralam now?
Keralam's immediate challenge is to make its development model economically sustainable while addressing the problems that have accumulated over the decades.
Unemployment remains a major concern. According to the Centre’s Periodic Labour Force Survey (PLFS), the general unemployment rate among people aged 15 and above stands at 8.9%.
The remittance-dependent economy has struggled to take off, while rising public debt and mounting committed expenditure have placed considerable pressure on the state's finances. Revenue gaps and heavy reliance on borrowing to meet existing liabilities, including salaries and pensions, have worsened the problem.
According to the fiscal status report recently tabled in the Assembly by Chief Minister VD Satheesan, Keralam's public debt has exceeded ₹5.07 lakh crore, equivalent to approximately 35.5% to 38.7% of its Gross State Domestic Product.
The growing fiscal burden raises serious questions about the sustainability of a welfare model that successive governments have sought to expand. The constant emphasis on populist measures, despite the state's financial constraints, has also placed it in a welfare trap of sorts.
Freeing itself from this fiscal pressure is as big a priority as addressing unemployment, encouraging industrial growth, ensuring environmentally sustainable development and strengthening social harmony.
REFERENCES:
1. Periodic Labour Force Survey by the Ministry of Statistics and Programme Implementation
2. Kerala's Fiscal Health: A Status Report. Assembly of Keralam
3. Keralam Migration Survey 2023 by Gulati Institute of Finance and Taxation, Government of Kerala and International Institute of Migration and Development.
4. Kerala’s Patriarchal Dominance and Low Female Workforce Participation by
D Dhanuraj and Nissy Solomon
5. Kerala, 1956 to the Present: India’s Miracle State, Tirthankar Roy and K. Raviraman, Cambridge, 2024