Saturday, June 20, 2026

Kerala Budget 2026: Despite white paper warning, no plan to cut committed expenditure

Kerala CM V.D. Satheesan presents the revised Budget in the Kerala Legislative Assembly, in Thiruvananthapuram, on June 19, 2026.

Kerala CM V.D. Satheesan presents the revised Budget in the Kerala Legislative Assembly, in Thiruvananthapuram, on June 19, 2026.
| Photo Credit: PTI

After releasing the “Kerala’s Fiscal Health — A Status Report” (White Paper), which raised serious concerns over the State’s rising debt burden while strongly criticising the previous Left government for alleged fiscal mismanagement, the new United Democratic Front (UDF) government on Thursday (June 18, 2026) presented its maiden Budget.

The Budget estimates the debt-to-GSDP ratio to come down marginally to 33.5% in 2026-27, compared with 34.87% (actuals, 2024-25) or 34.26% (revised estimates, 2025-26).

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