Kerala's Financial Tug-of-War with the Centre

Union Minister George Kurian suggested Kerala declare itself 'backward' to receive more central funds, amid discontent from Kerala's leaders over the 2025-26 union budget. The state's demands, including significant financial packages, were reportedly ignored, prompting strong reactions from state officials and political leaders.

In a provocative statement, Union Minister George Kurian proposed that Kerala should declare itself 'backward' to secure increased funding from the Centre. The comment came amidst sharp criticism from Kerala's ruling CPI(M) and opposition Congress over perceived neglect in the 2025-26 union budget.

Key political figures from Kerala, including Chief Minister Pinarayi Vijayan and Finance Minister K N Balagopal, have expressed displeasure, describing the budget as 'extremely disappointing.' They cited the omission of major financial requests, such as a Rs 24,000 crore package, as a reason for their dissatisfaction.

In response, state CPI(M) secretary M V Govindan criticized the Centre's attitude, stating that the government should assist in Kerala's development rather than suggesting regression. He pointed out that Kurian's remarks could imply an expectation for the state to move backwards.

(With inputs from agencies.)