Kerala has every reason to feel aggrieved. None of the demands made in the State’s wish list have been conceded. Nor have Kerala’s concerns been addressed.

The unkindest cut has been the drastic drop in the State’s share in central taxes. Kerala was expecting it to be of the order of over Rs 20, 000 crore. But the amount the State is likely to get this time is only Rs 15,000 crore – a dip of over 5000 crore.

A shocked finance minister of Kerala has gone to the extent of calling it a war on Kerala. Isaac had prepared the State’s budget to be presented on February 7 anticipating that the State’s share will be in the region of over Rs 20,000 crore. But in view of the steep decline likely in the State’s share, the Finance Minister has the extremely difficult task of virtually recasting the Kerala Budget. The reduction in tax share would have an impact on the welfare schemes meant for the poor in Kerala.

Kerala is not the only southern state to be at the receiving end. Andhra Pradesh, Telangana and even the BJP-ruled Karnataka will be big losers in this regard.

It may be mentioned that it was only a month back that Kerala was not allotted any assistance meant for States hit by natural calamities. While seven other states received central assistance, Kerala drew a blank despite it being the State worst hit by unprecedented rains and the resultant flood fury.

Such callous indifference to the interests of the State is being ascribed to the Centre’s bias against the State which has opposed a number of policies of the Modi Government. Aggravating the anger against the State is the fact that it is at the forefront of the agitation against the Citizenship Amendment Act (CAA) and the proposed National Register of Citizens (NRC).

Another blow is the hint in the Budget that Kerala’s share in the GST will be released only next year. Equally worrying is the move to control the State’s efforts to raise loans through Kerala Infrastructure Finance Board (KIFB).

Likewise, neither the Cochin Shipyard nor the Kochi Refinery can make any forward movement as no allocation has been made in the Budget.

Among the other long-standing demands of the State which the Budget has ignored are Kanjikode rail coach factory, AIIMS, Sabari railway line and the State’s prestigious project of semi high-speed rail project.

As for the Rubber Board and Coffee Board, their allocations have suffered a drop from the amount they received in the last budget. There is no allocation whatsoever for the Coir Board.

The budget, noted for its unabashed corporate appeasement, has also been extremely unfair to the State’s fisheries sector and lakhs of fishermen, said the president of All India Fishermen’s Association, T N Prathapan. The Budget, he alleged, has turned a blind eye to the plight of over a crore of fishermen, adding that it contains no project to improve their living conditions and ensure fair wages for them.

Chief Minister Pinarayi Vijayan has accused the Modi Government of completely ignoring Kerala. The budget will fuel inflation and increase unemployment, he opined. The budget has also been indifferent to the States’ demand for early release of GST compensation, for raising investments in public sector enterprises, fast-tracking National Highway development, for increasing the number of attaches in Indian embassies in Gulf countries and for ensuring early rehabilitation of non-resident Keralites.

Congress Chief Whip in Lok Sabha, Kodikkunnil Suresh felt that the move to introduce over 150 new trains through the PPP route is extremely dangerous. It will put rail travel beyond the capacity of ordinary rail passengers, he added. (IPA Service)