Kerala Budget LIVE Updates: 12th pay revision commission announced, Rs 14,500 crore for pensions ahead of polls

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The people-centric budget also boosts spending on women’s safety, rural employment and key infrastructure projects ahead of Assembly polls.Kerala’s 2026-27 Budget earmarks Rs 14,500 crore for social security pensions and announces pay hikes for frontline welfare workers. (File Photo)

Social security push ahead of polls: Eyeing the upcoming Assembly elections, Kerala Finance Minister K N Balagopal on Thursday presented a people-centric Budget for 2026-27, announcing a Rs 14,500 crore allocation for social security pensions. Presenting the second Pinarayi Vijayan-led government’s sixth budget in the Assembly, Balagopal said the state would continue to prioritise welfare despite what he described as severe financial constraints imposed by the Centre.

Pay hikes, welfare schemes announced: The budget hiked the monthly honorarium of Accredited Social Health Activists (ASHA) and Anganwadi workers by Rs 1,000, while Anganwadi helpers will get an additional Rs 500 per month. The pay of pre-primary teachers and literacy mission motivators has also been raised by Rs 1,000 per month, and daily wages of school cooking staff increased by Rs 25. An allocation of Rs 3,700 crore was announced for the Chief Minister’s Stree Suraksha Scheme, along with enhanced spending on rural employment, insurance cover for all categories including schoolchildren, and free degree education in arts and science colleges.

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Rs 100 cr allocated for RRTS: The budget earmarked Rs 100 crore for initial works on the proposed Regional Rapid Transit System from Thiruvananthapuram to Kasaragod, Rs 150 crore for coastal development, and over Rs 250 crore for forest and wildlife protection. Taking aim at the Centre, Balagopal alleged that Kerala’s tax revenues were being “strangled”, but asserted that the state had continued to progress despite what he termed sustained neglect.

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