Keralam Chief Minister and Finance Minister VD Satheesan on Friday presented the first State Budget of the UDF government for the financial year 2026-27, outlining a five-year roadmap for creating “New Era Keralam” through reforms in health and education, employment generation, social welfare, and modern infrastructure development.
“This revised budget of the UDF government will serve as the roadmap for the welfare schemes to be implemented in the state over the next five years. The UDF government came to power with a clear and decisive public mandate,” Satheesan said.
He said the Budget reflects the UDF government’s vision of addressing these challenges through reforms, technology, and investments in social and physical infrastructure.
“The government is committed to creating a New Era Keralam by formulating initiatives aimed at improving the health and education sectors through the maximum utilization of modern technological possibilities, generating more employment opportunities, ensuring the welfare of senior citizens, and integrating modern infrastructure development,” he said.
He said the government had inherited challenges in several key sectors despite Keralam’s achievements in social development over the years.
“Public health, education, and social sectors, which have gained global recognition, have recently been facing severe challenges and pressures. Keralam’s social development indicators have remained stagnant for years. Youth unemployment continues to be a matter of concern,” he said.
Satheesan highlighted the welfare measures already undertaken by the UDF government despite financial constraints.
“Despite the severe financial challenges facing the state, the government has already implemented key promises under the six Indira Guarantees, including free travel for women in KSRTC buses and the creation of a separate department for senior citizens. Honorariums for ASHA workers, anganwadi workers, helpers and teachers have also been increased. By strengthening investments in the health and education sectors, the government aims to position Keralam as a destination point,” he said.
The CM also drew attention to the state’s changing demographic profile and stressed the need to create opportunities for young people within the state.
“The state’s demographic structure has undergone significant changes. The share of young people, who constitute the demographic dividend, is declining, while many are migrating abroad in search of jobs. A comprehensive study on these demographic changes is essential. We must provide quality education and employment opportunities to ensure that our youth become partners in Keralam’s development,” Satheesan said.
Emphasising the need to adapt to social and economic changes, he said the government would focus on senior citizens’ welfare while exploring new avenues for economic growth.
“Along with ensuring better facilities for senior citizens, we should also make the best use of their capabilities and create a silver economy. Keralam’s financial constraints and structural changes cannot be addressed through conventional methods alone. The government is committed to attracting large scale investments through modern and innovative approaches, generating resources for the exchequer and ensuring an equitable distribution of wealth,” he added.