Kerala CM Pinarayi Vijayan Slams Union Budget for Ignoring State Needs

Thiruvananthapuram: Kerala Chief Minister Pinarayi Vijayan on Tuesday slammed the budget presented by Union Finance Minister Nirmala Sitharaman in Parliament, stating it appears to discriminate between states.

The chief minister noted that most states including Kerala have been overlooked in the Finance Minister's announcements, which were prefaced with the '8 Goals of National Importance'. While there is no objection to the announcement of development plans required by states, ignoring any state is unacceptable, he added.

Pinarayi said the present approach of the central government hindered the progress of states like Kerala. The continuous disregard for Kerala's significant demands poses a challenge to the people.

The chief minister said after examining the budget proposals in detail, Kerala will reiterate its demands strongly before the Centre.

He said the budget includes announcements that are crucial for the survival of the central government. But on the other hand, Kerala's persistent demands, such as for an AIIMS, appear to have been overlooked. The state's needs in natural disaster management and tourism have also been disregarded, which is both disappointing and deplorable.

The chief minister said certain measures announced in the agriculture sector will have to be implemented directly by the states. However, economic empowerment of the states is a prerequisite for the implementation of such schemes in the sector. Without such empowerment, how can agricultural prosperity be realised?

States are struggling to fund developmental activities owing to the central government's policies, which include restrictions on credit limits, he said.

Pinarayi pointed out that the announcement of centrally sponsored schemes brought financial implications for the states. Recently, the Centre appears to be infringing upon the states' taxation authority, particularly in the newly announced schemes concerning urban development.

The Union Finance Minister's speech highlighted the need to lower stamp duties. He said that after the GST's introduction, the states' autonomous taxation capabilities have become significantly restricted.