Allocation for key sectors in Kerala less compared to other states: Think tank

Kerala’s budget allocation for certain key sectors, except health, is less than the average expenditure by 30 states, says a study by PRS Legislative Research, a New Delhi-based think tank.
Kerala Finance Minister KN Balagopal presents the maiden budget of the government's second tenure. (Photo| Vincent Pulickal, EPS)
Kerala Finance Minister KN Balagopal presents the maiden budget of the government's second tenure. (Photo| Vincent Pulickal, EPS)

THIRUVANANTHAPURAM: Kerala’s budget allocation for certain key sectors, except health, is less than the average expenditure by 30 states, says a study by PRS Legislative Research, a New Delhi-based think tank. Kerala has allocated 6.5 pc of its total expenditure on health in the state budget 2021-22. This is higher than the average allocation for health by the other states, 5.5 pc, in their budgets for 2020-21. The sectors in which Kerala lag behind are education, agriculture, rural development, police and roads and bridges.

Kerala’s budgetary allocation for the education sector was 14.7 pc of total expenditure as against the average 15.8 pc allocation by other states. The state earmarked 5.6 pc of its total expenditure towards agriculture and allied activities. This is lower than the average allocation for agriculture by the other states, 6.3 pc. The average allocation for rural development by other states was 6.1 pc of the total expenditure as against Kerala’s 4.3 pc.

The average allocation for police by other states was 4.3 pc while Kerala has earmarked only 2.7 pc. While Kerala has earmarked 3 pc of the total expenditure for the development of roads and bridges, the average figure of other states is 4.3 pc.

Quoting the revised budget estimates, the report points out that the revenue expenditure in 2020-21 was 10 pc lower than the budget estimate whereas the capital outlay is estimated to be 27 pc less. Key sectors with comparatively higher capital outlay include transport, Rs 2,150 crore, rural development, Rs 1,708 crore and roads and bridges, Rs 1,640 crore. Water supply, sanitation, housing, and urban development have been earmarked Rs 1,336 crore.

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