Kerala CM Accuses Centre of Unfair Tax Devolution, Highlights State's Resilience and Growth

Kerala Chief Minister Pinarayi Vijayan has launched a scathing attack on the Centre, accusing it of denying the state its due share in tax devolution. Speaking at a public event to mark his government's fourth anniversary, Vijayan claimed Kerala lost out on Rs2,282 crore in 2022-23 and Rs2,071 crore in 2023-24 due to the alleged unfair allocation.

The Chief Minister argued that based on Kerala's population share, the state should have received 2.7% of the total tax revenue, instead of the 1.53% and 1.13% allocated over the past two years. Expressing his grievances to the 16th Finance Commission, Vijayan highlighted the discriminatory attitude of the Union Government, which he says has restricted state borrowings by Rs3,300 crore.

Despite these setbacks, Vijayan stressed that Kerala's economy continues to grow, as evidenced by the increase in its Gross State Domestic Product and per capita income since 2016. He criticized false propaganda that portrays the state's financial management as poor, asserting that Kerala remains resilient and continues to implement major projects despite the Centre's financial restrictions.

(With inputs from agencies.)