Kerala’s economy took a beating after the floods in August 2018. In fact, Kerala Finance Minister Thomas Isaac admitted that the fiscal condition is not looking good as Kerala’s growth will be the lowest in three decades. This condition, the Minister thinks, will continue in the Financial Year 2019-2020 as well, as it cannot curtail its expenditure given that Kerala is yet to fully recover from the aftermath of the floods. However, the Minister maintains an optimistic view and looks towards fiscal consolidation. Pushing for tax revenue growth by around 30% and proper implementation of the Goods and Service Tax (GST) are what the Finance Ministry hopes will revive the fiscal health of the state.
As Thomas Isaac presents his 10th Budget at the State Assembly, here are the updates: