Kerala's Left Government Unveils Welfare-Heavy Budget 2026-27 Ahead of Assembly Elections
Kerala's Welfare-Oriented Budget 2026-27 Unveiled

Kerala's Left Government Presents Welfare-Heavy Budget for 2026-27 Ahead of Assembly Elections

With Assembly elections approaching, Kerala's Left Democratic Front (LDF) government, led by Chief Minister Pinarayi Vijayan, has unveiled a strongly welfare-oriented Budget for the fiscal year 2026-27. The budget signals a renewed push to consolidate social support through enhanced pensions, wage hikes for grassroots workers, and expanded public programmes, aiming to strengthen the government's pro-people image.

Key Allocations for Social Security and Worker Welfare

Presenting the sixth Budget of the second Vijayan government in the State Legislative Assembly, Finance Minister K N Balagopal announced significant financial commitments. A central allocation of ₹14,500 crore has been earmarked for social security pensions, underscoring the administration's focus on welfare measures.

The Budget introduces substantial pay revisions for key community workers:

  • Accredited Social Health Activists (ASHA) and Anganwadi workers will receive a monthly honorarium increase of ₹1,000.
  • Anganwadi helpers are set to get an additional ₹500 per month.
  • Pre-primary teachers and literacy mission motivators will benefit from a ₹1,000 monthly hike.
  • School cooking staff will see their daily wages rise by ₹25.

Major Outlays for Women's Safety and Welfare

In a significant move to bolster women's security, the government has allocated ₹3,700 crore for the Chief Minister's Stree Suraksha Scheme. Additionally, ₹3,820 crore has been specifically set aside for women's security welfare pensions, reinforcing the administration's emphasis on gender-sensitive policies.

Balagopal highlighted other key allocations, stating, "₹400 crore is allocated for the Chief Minister's 'Connect to Work' scholarship scheme and ₹14,500 crore is allocated for disbursing welfare pensions for the year 2026-27."

Focus on Employment, Education, and Infrastructure

Beyond social security, the Budget proposes a ₹1,000 crore increase in allocation for rural employment schemes compared to previous years. It also announces comprehensive life and health insurance coverage for all categories of people, including school children, and free degree education for students in arts and science colleges.

On the infrastructure front, Balagopal set aside ₹100 crore for preliminary works on the Regional Rapid Transit System (RRTS) corridor from Thiruvananthapuram to Kasaragod, which recently received in-principle Cabinet approval. Further allocations include around ₹150 crore for coastal development and over ₹250 crore for forest and wildlife protection.

Defending the Kerala Model and Warning Against Polarisation

In his Budget speech, Balagopal presented the past decade as a period of transformative change for Kerala, asserting that the state has created a "new normal" in every sector. He emphasized the government's readiness to discuss these achievements with facts and figures, while also cautioning against communal polarisation.

"The ability to maintain peace, tranquillity, religious harmony, and unity is the biggest guarantee of our future growth and prosperity," Balagopal said, warning against "venomous communal serpents" seeking to破坏 this unity.

Fresh Criticism of Central Government's Fiscal Policies

The Finance Minister once again accused the Central government of restricting Kerala's fiscal space, alleging politically motivated pressure ahead of elections. "By cutting the previously fixed borrowing limit and denying legitimate arrears, the central government is attempting to choke the state government," he stated, describing these actions as temporary election-period tactics.

Despite these constraints, Balagopal asserted that Kerala has continued to progress, highlighting the government's track record in fulfilling electoral commitments. "With the satisfaction that the promises made have been almost fully implemented, today's budget is being presented," he concluded, positioning this Budget as a continuation of the LDF's welfare agenda.