National
#Kerala : Pinarayi Vijayan Government Presents Budget That Reaches Every Household In The State , With Assembly Polls Looming Soon
The 2026-27 Budget projects Rs 1.82 lakh crore in revenue and Rs 2.4 lakh crore in total spending, while setting aside thousands of crores for pensions, health support and grassroots development.
Picture : @pinarayivijayan/X
With Assembly elections just months away, the second Pinarayi Vijayan government in Kerala presented a budget that reaches into nearly every household in the state — from schoolchildren and working women to the downtrodden and job seekers.
Presenting the Left government’s final full budget before voters head to the polls, finance minister K N Balagopal unveiled a spending plan heavy on welfare, salary hikes and social security, alongside big promises on infrastructure and jobs.
The 2026-27 Budget projects Rs 1.82 lakh crore in revenue and Rs 2.4 lakh crore in total spending, while setting aside thousands of crores for pensions, health support and grassroots development.
Welfare pensions alone account for Rs 14,500 crore, underlining the Left government’s continued focus on social security.
In a move aimed at government employees and pensioners — a key voter group — the minister announced the 12th Pay Revision Commission, with a report due in three months.
Pending Dearness Allowance (DA) and Dearness Relief (DR) arrears will be cleared in phases, beginning with payments in February and March.
The House Building Advance scheme will also be restored.
The budget further replaces the contributory pension system with an Assured Pension Scheme from April 1, guaranteeing up to 50 percent of the last drawn basic pay as pension, along with dearness relief.
Employees under the National Pension System will be given the option to switch. Grassroots workers saw multiple benefits.
Anganwadi workers, ASHA workers, pre-primary teachers and literacy mission volunteers will receive monthly pay hikes, while school cooks will see an increase in daily wages.