KOCHI: Despite severe fiscal constraints, Kerala has not compromised on welfare or infrastructure spending, Finance Minister K N Balagopal said at the ‘Vision 2031’ seminar in Kochi on Monday. He said the state’s total expenditure reached Rs 1,73,851 crore in 2024-25, a substantial increase of around Rs 1 lakh crore compared to Rs 76,744 crore in 2014-15.
The minister noted that despite challenges such as reduced central grants and lower tax devolution, the two consecutive LDF governments have together achieved a capital expenditure of Rs 1,25,032.77 crore. Of this, the current government has spent around Rs 68,600.45 crore, he said.
A report released at the seminar highlighted that the average annual expenditure during the second Pinarayi Vijayan government stood at Rs 1.64 lakh crore, projected to rise to Rs 1.71 lakh crore by the end of its term — totalling Rs 8.55 lakh crore from the exchequer.
The average annual expenditure during the first Pinarayi government was Rs 1.17 lakh crore, while under the Oommen Chandy government it was Rs 0.68 lakh crore, marking significant uptick in state spending.
The government has spent approximately Rs 43,000 crore on welfare pensions over the past four and a half years, a figure expected to reach Rs 50,000 crore by the end of the current term.