Development projects, like Silverline, which would benefit Kerala would not be abandoned irrespective of the financial constraints being faced by it, state Minister for Parliamentary Affairs K Radhakrishnan said in the assembly on Tuesday. Radhakrishnan was answering queries regarding the financial position of Kerala on behalf of state Finance Minister K N Balagopal, who is attending a GST Council meeting. "The government has no intention to withdraw from projects which would contribute to the development of the state. The government will move forward with such projects," the state Minister for Parliamentary Affairs said.
His response was in answer to a query by the opposition as to whether the government would back off from the Silverline project as it would allegedly cause a huge financial loss to the state which is already dealing with a huge debt of over Rs 3.32 lakh crore. Radhakrishnan also said that since the government carried out various development and welfare-related activities in the state, even when it was facing financial problems, its revenue or funds would decrease.
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However, such development and welfare activities would bring in more revenue for the state in future and improve the standard of living of the people, he added. He also said the last LDF government was able to control the increasing debt of the state. Radhakrishnan said that from 2010-11 to 2015-16, there was a 100.03 per cent increase in the state's debt, but from 2016 to 2020-21 the rise was only 88.66 per cent.
This indicated that the state government was able to take steps to curb or control the increase in Kerala's financial debt, he said. He also assured that Kerala would not reach a financial situation as that of Sri Lanka. Radhakrishnan further said that while difficulties were being faced in tax collection, the government was taking steps to strengthen the same. He also pointed out that besides the state government's policies, the central government's stand on issues like GST compensation were also responsible for the financial problems of Kerala.
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(With PTI Inputs)
