India News
Kerala Finance Minister KN Balagopal requested the Union government for a Rs 24,000 crore special package in the Union Budget 2024-25 to alleviate the state's liquidity stress.
During the pre budget discussion with Union Finance Minister Nirmala Sitharaman, Balagopal highlighted Kerala’s struggles due to floods, COVID-19, cuts in the state's revenue share, the end of GST compensation and borrowing restrictions.
He mentioned that in spite of several efforts to increase revenue the state faces severe financial challenges.
Balagopal pointed out Kerala's contributions in areas like innovation, human development and sustainable development urging a special package to be spread over two years.
He also asked for a review of borrowing restrictions claiming the state is losing Rs 5,710 crore annually due to retrospective borrowing limit cuts by the Union government.
He pointed out that Kerala has not benefited from the CAPEX facility in previous budgets and needs increased capital expenditure.
Balagopal called for direct Union investment in the Vizhinjam International Mother Port and an additional Rs 5,000 crore for other infrastructure projects like the Calicut- Wayanad Tunnel Road link.
He also urged increased funding for transport infrastructure, including roads, railways and urban projects and sought early clearance for the Silverline semi high speed railway project.
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