Thiruvananthapuram: Finance Minister K. N. Balagopal informed the Assembly that efforts will continue to secure the Centre’s allocation of funds. He said that the reduction in allocations for Central schemes is creating difficulties for the State government in implementing these programs. The National Health Mission is still awaiting about Rs 1,000 crore in Central allocations. Consequently, the Minister stated that the State is now forced to bear this expense.

He said that over Rs 1,000 crore is due in connection with the rice procurement, in response to P Nandakumar's attention. Even in schemes related to school education, the State is not getting the share from the Centre. The Minister said that various departments are also in communication with their respective Union Ministries to obtain the arrear amount for Centrally sponsored projects from the Central Government.

Even the borrowing limit was cut down by the Centre. According to the Accountant General's preliminary estimates for 2023-24, there is a shortfall of Rs 13,000 Crore in grants compared to the previous year. Kerala has the right to borrow 3.5 percent of GSDP.  However, only 2.44 percent was allowed to be taken in the year 2022-23. It was allowed to take 2.8 percent in 2023-24. The shortfall in the borrowing is Rs 19,000 Crore in these two years alone.

The Centre has rejected allocations for even Central schemes including UGC salary revisions citing vague reasons. The Minister also said that the State government is taking measures taking into consideration that everyone will be affected if the State does not receive its share from the Centre.