Expectedly, the Opposition has dubbed it as a populist budget aimed only at winning the upcoming Assembly election battle. But even the Congress-led United Democratic Front (UDF), which thinks it will form the next government in the State, would find it extremely difficult to scrap any of the proposals enunciated in the budget. In reality, it is a budget presented by a Government which is sure of ensuring continuity in rule. The confidence stems from its determination to reverse the electoral setback suffered in the local bodies elections.

A host of insurance schemes, wage raise for scheme workers and solid proposals for development are the highlights of the Budget. The budget brings cheer to the Government employees and pensioners. Under the Assured Pension Scheme, employees will be eligible for 50 per cent of the last basic pay as maximum pension. It offers an option for shifting from the existing National Pension System to the assured pension.

The Pay Commission has been asked to submit its report in three months’ time. The remaining instalments of Dearness Allowance/Dearness Relief (DA/DR) will be paid in full before the election. One DA instalment will be disbursed with the February salary while the remaining instalments will be paid with the salary of March.

A notable and praiseworthy feature of the budget is a bevy of insurance schemes. The list includes an accident/life coverage for school students and autorickshaw and taxi workers besides a new health insurance initiative for families outside the ambit of the Karunya Arogya Suraksha Scheme. A ‘Life Saver Scheme’ which will ensure cashless treatment for road accident victims for the first five days is the “Topper’ in the list.

There is good news for ASHAs, pre-primary teachers, Anganwadi workers and Saksharata Preraks too. Their monthly wages will be raised by Rs 1,000 each, and that of Anganwadi helpers workers by Rs 500. The noon-meal workers in schools also stand to benefit as their daily wages have been increased By Rs 25.

Another heart-warming feature is the making of under-graduate education free. The scheme will be applicable to government and aided colleges, too. At present, education is free only up to the Plus Two level in the State.

What has been described as the “highlight” of his speech by the Finance Minister himself is the Rs 1,000-crore allocation for pursuing the employment guarantee scheme. This has to be viewed against the murky backdrop of the Union Government’s decision to replace the Mahatma Gandhi National Rural Employment Guarantee Scheme – a decision which has dealt a “heavy blow” to the State.

As far as infrastructure development is concerned, Balagopal has announced a new “Rare Earth Corridor” linking the Vizhinjam port to Chavara and Kochi. A sum of Rs 100 crore has been earmarked for setting up a rare Earth Critical Minerals Mission in partnership with Kerala Minerals and Metals Ltd (KMML), KELTRON and the Non-Ferrous Materials Technology Development Centre (NFTDC), Hyderabad. The second id a Defence Technology Innovative Hub interlinking defence and space institutions in the State. The Budget Allocation for this is Rs 50 crore.

Among the other major allocations are Rs 100 crore for the Regional Rapid Transit System (RRTS) a north-south rail corridor for which the Kerala Cabinet had given the green signal on Wednesday, Rs 3720 crore for the Sthree Suraksha Pension Project, and Rs 400 crore for the Connect To Work scheme, which the Government had announced in October 2025.

True, the budget lacks proposals for Additional resource mobilisation. That is understandable. No Government imposes burden on the people in an election year. However, it has permitted municipalities and corporations to issue ‘municipal bonds’ “implementing major projects which are profitable as well as beneficial for the public,” Balagopal said. Incidentally, this is a prime recommendation of the 7th Finance Commission whose Part 1 report was tabled in the Assembly alongside Budget documents.

The Finance Minister dedicated the lion’s share of his speech to detailing the sector-wise achievements of the LDF Government which has held power for two consecutive terms. This continuity in rule has greatly helped lay the foundations for a developed Kerala, The FM claimed.

The Budget has also given a major fillip to the development of Malabar. It highlighted the under-construction of Wayanad tunnel road (Anakampoyil-Kalladi-Meppadi), Wayanad development package, Beypore uru tourism project, proposed Regional Rapid Transit (RRTS) phases connecting Thrissur-Kozhikode-Kannur-Kasaragod with Union Government’s support, establishment of a new Kerala Administrative Tribunal(KAT) bench at Thalassery, and an integrated international sports hub in Kannur.

To what extent the anti-left media can go to black out pro-Government news can be gauged from the fact that a prominent Malayalam daily failed to publish a survey which revealed the overwhelming support of 87 per cent for the Budget presented by Balagopal! (IPA Service)