Sat Feb 01 14:10:30 IST 2025: ## Kerala’s Budget Hopes Dashed as Union Budget Offers Little Relief

**Thiruvananthapuram, February 1, 2025** – Kerala’s hopes for significant financial aid in the Union Budget 2025-26 have been largely unmet. The state’s requests for a ₹24,000 crore economic package to address its liquidity crisis and ₹5,000 crore for the Vizhinjam port project were ignored, mirroring the outcome of last year’s budget. Other key demands, including ₹2,000 crore for Wayanad landslide rehabilitation, an AIIMS-equivalent facility, and funding to tackle human-wildlife conflict and climate change, were also absent from the budget.

While the budget’s expansion of IIT capacity post-2014 may benefit IIT Palakkad, and the extension of the Jal Jeevan Mission to 2028 will offer some help, Kerala’s plea for additional borrowing tied to power sector reforms was accepted. The impact of proposed development for top 50 tourist sites and plans to boost marine fisheries remains to be seen. Further, requests for ₹1,000 crore for human-wildlife conflict management and ₹4,500 crore for climate resilience were also rejected. The state’s long-standing requests for the SilverLine rail project and an International Research Institute in Ayurveda were not addressed. The state currently lags nationally in Jal Jeevan Mission coverage.

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