THIRUVANANTHAPURAM: Finance Minister K N Balagopal seems to have come of age, at least from a political point of view. In declaring a ‘Plan B’, the CPM central committee member has deviated markedly from the Left’s proclaimed positions, expressing an eagerness to pursue private investment even in flagship sectors like education, in the face of a mounting fiscal crisis.
At first look, the minister’s fourth budget speech was more a political declaration, generously embellished with opportunistic claims and remarks. In adopting a belligerent stand against the Centre and the UDF, Balagopal seemed to throw down the gauntlet to the Opposition and Left critics. As if taking a cue from his central counterpart, Balagopal made a slew of claims on how Kerala has been progressively tackling the various financial hurdles put up by the BJP-led Union government.
Taking an electoral position, he tried to appease various sections of society. Although the declaration to opt out of the contributory pension scheme, replacing it with an assured pension scheme, sounds rosy, it can only be taken with a pinch of salt given the state’s current fiscal troubles. Marking a shift from normal practice, there were only some minor anti-Centre remarks in the governor’s policy address in the House on January 25. Nonetheless, Monday’s budget speech more than made up for it. Laced with political comments, close to half an hour of the two-and-a-half-hour-long speech was dedicated to Centre-bashing.
Citing the reluctance to raise the borrowing limit and moves to curtail the state’s share in tax devolution, the FM minced no words in attacking the BJP government for its vengeful approach.Stating that the state is being punished for its achievements, the minister, however, vowed to fight back: “Kerala will not be shattered, Kerala will not tire, Kerala cannot be destroyed”. More than a slogan, it sounded like a mission statement.
And at this crucial juncture, Balalgopal came up with the crux of the budget -- a Plan B to raise private capital. In a major attempt to steady the finances, it proposes private investment in key sectors.
The Left has been stealthily shifting towards neoliberalism, observed political commentator J Prabhash. “Though claiming to look Left, the government has been ironically moving towards the Centre. It also means the Left is slowly shedding many of its earlier plans, along with its distinct leftist approach,” he said.
In what is obviously a election plank, Balagopal did not spare the UDF either. Referring to the state’s protest against the Centre on February 8, he urged the Opposition to come out with its own protest. He even questioned the spending of the UDF governments.
No wonder the Opposition termed it a political declaration in the House, rather than a state budget that comes with a preordained sanctity. Balagopal however countered the criticism, claiming a budget cannot be a mere compilation of statistical data or statement of facts by a chartered accountant that lacks political flavour!
