Kerala's Fiscal Friction: Government Defends Financial Strategy Amid Criticism

The Kerala Assembly erupted into intense debate on Monday as the ruling LDF and opposition UDF clashed over the state's fiscal health. Finance Minister K N Balagopal strongly defended the government's financial policies, emphasizing that welfare programs remain intact despite economic hurdles.

Balagopal countered opposition allegations of mismanagement by outlining the state's financial progress. He cited increased tax and non-tax revenues, reduced deficits, and sustained development initiatives as evidence of sound fiscal management. Opposition parties, however, criticized the government's handling of tax collection and economic policies.

The debate also touched on national policies affecting Kerala's economy. While the opposition pointed to treasury restrictions and lower GST growth, the government maintained it had not compromised on welfare. The discourse underscored tensions between maintaining fiscal responsibility and delivering welfare promises.

(With inputs from agencies.)