Union Finance Minister Nirmala Sitharaman has refuted claims of economic discrimination against Kerala, stating the central government allocated ₹1.57 lakh crore to the state between 2014-2024 – a 239% increase compared to UPA-era funding. During a Rajya Sabha session, she emphasized that no previous administration supported Kerala as extensively as the Modi government. The minister cited Finance Commission recommendations as the basis for allocations while revealing COVID-related special assistance of ₹2,715 crore granted through Prime Minister Modi’s intervention. Kerala received only ₹46,300 crore from 2004-2014 under UPA rule, while current grants and aids have surged by 509%, Sitharaman noted. The state’s ₹1.56 lakh crore allocation since 2014 includes ₹25,630 crore specifically for national highway projects like the Kollam corridor, completed through PM Modi’s direct involvement. The minister expressed dismay over persistent neglect allegations, referencing Kerala’s legal challenge regarding borrowing limits and the state’s fiscal mismanagement highlighted in CAG reports. Financial data presented shows Kerala utilized 97.88% of its 2022-23 borrowing capacity for debt servicing, with 70% of 2023-24 revenue spent on salaries, pensions and interest payments. Sitharaman attributed Kerala’s fiscal crisis to poor financial management by successive UDF and LDF governments rather than central policies. She defended the Centre’s position, citing a court observation that the Union government isn’t responsible for states’ financial difficulties arising from their own fiscal imprudence. The finance minister countered opposition claims by recalling Congress’ dismissal of the elected EMS government in 1959, questioning left MPs’ selective memory regarding democratic breaches. “When Congress removed your government from power, where were these principles then?” Sitharaman challenged, expressing pain over ideological inconsistencies in the criticism. She urged left members to remember their political foundations if they wished to debate constitutional propriety. Sitharaman systematically listed central schemes benefiting Kerala while rejecting any discrimination in resource allocation. The minister stressed that Kerala must enhance its revenue generation capacity rather than depend excessively on central transfers. Her detailed rebuttal included comparative funding statistics across different political regimes to demonstrate the NDA government’s substantial increased support for Kerala’s development. Story Highlights: FM Nirmala Sitharaman reveals Kerala received 239% more funds under Modi government compared to UPA era.
