Thiruvananthapuram, 19 June (H.S.) :The first Budget of the newly elected UDF government will be presented in the Kerala Assembly at 9 a.m. on Friday, with Chief Minister V.D. Satheesan, who also holds the Finance portfolio, set to unveil the state’s financial roadmap amid mounting fiscal challenges and high public expectations.

The Budget is expected to be a revised version of the one presented by the previous LDF government on January 29. While retaining certain ongoing commitments, the new administration is likely to introduce significant policy changes reflecting its governance priorities and economic vision.

The presentation assumes particular significance as it comes shortly after the Finance Department released a white paper highlighting the severe financial stress faced by the state. The document painted a grim picture of Kerala’s fiscal health, underlining the need for greater financial discipline, revenue mobilisation, and structural reforms.

With this Budget, Satheesan is set to enter the record books as one of the few Congress Chief Ministers, after R. Sankar and Oommen Chandy, to personally handle the Finance Department and present the state Budget. His maiden Budget is expected to indicate how the government plans to restore fiscal stability while balancing welfare commitments and development needs.

Sources suggest that development and infrastructure projects will receive major emphasis. The government is also expected to announce measures aimed at improving state revenues, particularly in light of indications that Kerala may not receive the Revenue Deficit Grant and certain other forms of financial support it had anticipated from the Centre.

Among the major announcements likely to feature in the Budget is the proposed “Mission Samudra” initiative, a flagship programme expected to focus on coastal and maritime development. The state is also awaiting clarity on several key promises made by the UDF during the election campaign.

Government employees and pensioners are closely watching for announcements regarding dearness allowance (DA) increases and pay revision. Welfare beneficiaries are expecting an enhancement in social security pensions, while details on the implementation of the UDF’s much-publicised “Indira Guarantees” are also anticipated.

The Budget may further outline plans for comprehensive reforms in land laws, a move that could have far-reaching implications for development, housing, and investment in the state.

Attention will also be focused on the future of the Kerala Infrastructure Investment Fund Board (KIIFB). The government is expected to announce administrative and recruitment reforms within the institution while clarifying its role in financing major infrastructure projects in the years ahead.

As Kerala grapples with fiscal constraints and growing development demands, the Budget is expected to provide the first clear indication of the UDF government’s economic direction and reform agenda.

---------------

Hindusthan Samachar / Arun Lakshman