Kerala Budget 2026: ₹14,500 Crore Allocated for Welfare Pensions, ASHA & Anganwadi Workers to Get Pay Hikes

₹14,500 crore earmarked for social security; ASHA, Anganwadi and education workers to receive pay hikes

Kerala, Jan 29 :  Left led government, with Assembly elections looming, presented a welfare-heavy Budget for 2026–27 on Thursday, highlighting increased social security spending, salary enhancements for grassroots workers, and investments in infrastructure and education.

Finance Minister K.N. Balagopal unveiled allocations of ₹14,500 crore for welfare pensions, with ₹3,820 crore set aside specifically for women’s security pensions. The Budget also introduces pay hikes for key community workers: ASHA and Anganwadi workers will see a ₹1,000 monthly increase, Anganwadi helpers an additional ₹500, and pre-primary teachers and literacy mission motivators ₹1,000 more per month. School cooking staff will receive an extra ₹25 per day.

The government has earmarked ₹3,700 crore for the Chief Minister’s Stree Suraksha Scheme, reinforcing women’s safety and empowerment, while ₹400 crore is allocated for the ‘Connect to Work’ scholarship scheme. Rural employment programmes will see an additional ₹1,000 crore, and life and health insurance coverage will expand across all categories, including school children. Free degree education will continue for students in arts and science colleges.

Infrastructure projects include ₹100 crore for preliminary works on the Regional Rapid Transit System (RRTS) corridor from Thiruvananthapuram to Kasaragod, ₹150 crore for coastal development, and over ₹250 crore for forest and wildlife protection.

Balagopal described the past decade as transformative, emphasizing that Kerala has created a “new normal” across sectors. He reiterated the state’s commitment to social unity, warning against communal polarisation, which he called the state’s most valuable asset.

The Finance Minister also criticised the Centre for limiting Kerala’s fiscal autonomy, citing restrictions on borrowing limits and arrears, but asserted that the state had continued to progress despite these challenges.

Concluding his Budget speech, Balagopal highlighted the government’s record in fulfilling election promises, calling the document a comprehensive presentation of programmes designed to consolidate welfare, empower communities, and maintain Kerala’s model of inclusive development.

Kerala Budget