16 JANUARY 2021

KERALA BUDGET

Finance Minister T. M Thomas Isaac presented the Kerala Budget for the period 2021-22 on 15 January, 2021. Though he has presented a full budget, the assembly will pass a vote-on-account for four months as the state is heading for a general election in the month of May 2021.

Giving thrust on higher education and employment, 8 lakh new job opportunities would be created in the state and added 20 lakh people would be given employment in five years in digital platforms in the state.

The Budget that focussed on welfare measures provided an additional expenditure of Rupees 1,164 Crore and tax concessions of Rupees 191 Crore against the additional revenue of Rupees 200 Crore, keeping a cumulative deficit of Rupees 1,306.69 Crore.

Finance Minister Thomas Isaac described the Budget as a ”new edition to the Kerala development model. It laid down a road map to accelerate development by creating a knowledge-based economy centred on innovation”.

Some of the salient features are :

All welfare pensions increased to Rs. 1600.

ASHA worker’s allowance would be increased by Rs.1000

The minimum support price of Rubber increased to Rs. 170, price of paddy increased to Rs. 28 and Coconut to Rs. 32.

A total of 4000 posts will be created in the health sector and improve skills to 50 lakh youth in the state.

Digital platform for registration of unemployed.

2500 start-ups with 20000 job opportunities to be started during the year 2021-22.

Rs. 200 Crore outlay for Ayyankali Employment Guarantee Scheme.

Rs. 50000 Crore for construction of three Industrial Corridors.

Rs. 100 Crore for Integrated Expatriate Employment Scheme

Projects worth Rs. 15000 Crore will be completed through KIFBI in 2021-22 as an anti-recession package.

Renovation of 4830 Km of roads would be completed in the state.

The government employees, teachers and pensioners will benefit from 1 April, 2021.

Stamp duty on sale deed reduced from 8% to 4% and registration fee from 2% to 1%.

The Kerala Development and Innovation Strategic Council (K-DISC) would be registered as a society to take up skill training of the youth.

500 post-doctoral fellowships increased from Rs. 50000 to Rs. One Lakh per month.

30 Centres of Excellence would be set up in Universities.

An outlay of Rs. 2000 Crore for Universities and Rs. 1000 Crore for affiliated Colleges announced.