Governor Rajendra Arlekar delivering his policy speech in Kerala Assembly on Tuesday
The 16th session of the 15th Kerala Assembly, the last during Chief Minister Pinarayi Vijayan‘s tenure, was inaugurated on Tuesday (Jan 20) with his customary policy address by the Governor, Rajendra Arlekar.
What stood out in his speech was the parts of the speech that hit out against the Centre’s policies, such as the changes in the Mahatma Gandhi National Rural Emnployment Guarantee Scheme (MGNREGS) and other decisions of the Centre that affected the state's finances considerably. He said the Centre’s decision represented a setback for the state.
However, following the Governor's speech, Chief Minister Pinarayi Vijayan, read out a portions of the speech that Governor Arlekar had left out making it clear that the Governor did not strictly go by the script: in paragraphs 12, 15 and 16, the speech as delivered by him was not exactly the same text as originally prepared. The Governor also added some phrases, the CM said, adding that this was against accepted practice; what should be read in the House is the text approved by the Cabinet.
The Centre's funds cut hit the state badly, the Governor said. The cut in the Centre’s share in MGNREGS from the original 100 to current 60 per cent has made an adverse impact for the state and puts the state under financial stress. The Governor demanded that the previous scheme should be restored.
The Governor blamed the Centre for meddling with the state’s powers and policies; the slashing of funds due to the state have affected the government’s measures in several spheres including health.
He claimed that Kerala is rapidly progressing on the path of development and that this is a crucial year for the state. He highlighted the unparalleled social progress achieved by Kerala in the last ten years.
The revenue from GST has recorded a big reduction. The overall arrears due from the Centre under several heads has risen to Rs 5650 Cr. In the last quarter, the borrowing limit was reduced by half. And the limit in open borrowing was reduced by Rs 17,000 Cr. In general, the Governor said, the Centre was encroaching on the rights of the state.
The Governor said that Kerala's achievements in eradicating extreme poverty are a model for the world. He presented the fact that the infant mortality rate has been reduced compared to developed countries. The speech mentioned as major achievements that digital literacy and digital services have been ensured. The policy statement stated that Kerala has become the state with the lowest digital divide and has been able to successfully implement the Kerala Single Dwelling Place Protection Act, 2025.
The Governor cited that in the health sector, Rs 4500 Cr has by now been spent on the Karunya scheme and the remuneration of ASHA workers was raised from Rs 7,000 to Rs 8,000. The real income of the state increased and the public debt has come down. But despite the financial distress, the state allocated considerable funds for welfare schemes.
In the face of financial stress, the state will seek all options for financial stability, including exploring new sources of revenue. Kerala is getting closer to the goal of being a state with zero landless and homeless.
On the administrative front, the Governor said that the law and order situation in the state is on the safe side.
It was interesting that the portions in the Policy address against the Centre’s policies were also read out by the Governor without changes. In the past there were cases of Governor refusing to read out such parts or skipping portions of such parts critical of the Centre. The Governor also dismissed the argument that the cause of financial stress was governmental extravagance.
This is the first policy address by Governor Arlekar. He was greeted with bouquets on his arrival by Chief Minister Pinarayi Vijayan and Speaker AN Shamseer.