Kerala State Budget 2023-24 Analysis
Revised EstimateTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Kerala FY 2023-24
Kerala State Budget 2023-24 Budget at a Glance
Total Receipts
Rs 1.27 lakh crore
+7.0%
Total Expenditure
Rs 1.66 lakh crore
-2.5%
Fiscal Deficit
3.5%
Rs 40,461 crore
Capital Expenditure
Rs 14,398 crore
-16.3%
Tax Revenue
Rs 77,038 crore
+11.3%
Interest Payments
Rs 26,843 crore
16% of expenditure
Kerala Revenue Receipts 2023-24
Own tax revenue vs non-tax revenue breakdown
Kerala Expenditure Breakdown 2023-24
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Top 10 Departments by Allocation
Fiscal Deficit as % of GSDP โ Kerala 2023-24
The fiscal deficit for Kerala in 2023-24 is 3.5% of GSDP (Rs 40,461 crore), reflecting the state's borrowing needs to fund development programmes.
States are expected to maintain fiscal deficit within 3% of GSDP as per the FRBM Act. Kerala is maintaining fiscal discipline close to the recommended limit.
Interest payments at Rs 26,843 crore consume 16.2% of total expenditure.
Kerala State Budget 2023-24 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 2.47 lakh crore | 100% |
| 1. Revenue Receipts | Rs 1.27 lakh crore | 51.4% |
| a. Own Tax Revenue | Rs 77,038 crore | 31.2% |
| b. Non-Tax Revenue | Rs 16,853 crore | 6.8% |
| B. Total Expenditure | Rs 1.66 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 1.51 lakh crore | 91.3% |
| 2. Capital Expenditure | Rs 14,398 crore | 8.7% |
| of which: Interest Payments | Rs 26,843 crore | 16.2% |
| C. Fiscal Deficit | Rs 40,461 crore | 3.5% of GSDP |
Source: Kerala State Budget Documents via PRS India. All figures in Indian Rupees.
Kerala Department-wise Expenditure 2023-24
Top departments by allocation in Kerala for 2023-24
| Department โ | Revenue โ | Capital โ | Total โ | Share |
|---|---|---|---|---|
1. Education | Rs 23,000 crore | Rs 1,400 crore | Rs 24,400 crore | 14.7% |
2. Health & Family Welfare | Rs 13,000 crore | Rs 1,800 crore | Rs 14,800 crore | 8.9% |
3. Social Welfare | Rs 11,000 crore | Rs 1,000 crore | Rs 12,000 crore | 7.2% |
4. Rural Development | Rs 8,000 crore | Rs 1,800 crore | Rs 9,800 crore | 5.9% |
5. Police & Home | Rs 7,000 crore | Rs 800 crore | Rs 7,800 crore | 4.7% |
6. Agriculture & Allied | Rs 6,500 crore | Rs 1,000 crore | Rs 7,500 crore | 4.5% |
7. Transport & Roads | Rs 4,000 crore | Rs 2,500 crore | Rs 6,500 crore | 3.9% |
8. Urban Development | Rs 4,500 crore | Rs 1,400 crore | Rs 5,900 crore | 3.6% |
9. Water Supply & Sanitation | Rs 3,500 crore | Rs 2,100 crore | Rs 5,600 crore | 3.4% |
10. Energy | Rs 4,500 crore | Rs 1,000 crore | Rs 5,500 crore | 3.3% |
Kerala Budget 2023-24 Analysis & Highlights
Key Highlights
- Revised expenditure at Rs 1,80,000 crore โ close to budget estimates.
- Revenue shortfall of Rs 8,000 crore as GST growth moderated.
- Fiscal deficit revised to Rs 26,000 crore at 3.3% of GSDP.
- KIIFB spending at Rs 7,000 crore โ off-budget borrowings face central scrutiny.
- Tourism revenue recovered to 85% of pre-COVID levels driving consumption taxes.
- Health spending maintained at Rs 14,000 crore including Nipah virus response costs.
- Social security pensions disbursed at Rs 1,500/month to 53 lakh beneficiaries.
- Education spending at Rs 22,000 crore maintained quality across government schools.
- Outstanding debt at Rs 3,50,000 crore โ highest debt-to-GSDP among large states.
- Interest payments at Rs 32,000 crore crowded out capital investment.
Compare Kerala Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2019-20 | 2020-21 | 2021-22 | 2022-23 | 2023-24 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 1.7 lakh crore | Rs 1.66 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 1.19 lakh crore | Rs 1.27 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 17,200 crore | Rs 14,398 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 3.6% | 3.5% |
| Own Tax Revenue | โ | โ | โ | Rs 69,200 crore | Rs 77,038 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Kerala State Budget 2023-24
The Kerala state budget is the annual financial plan presented in the state legislature. It covers all revenue receipts, expenditure allocations across departments, and fiscal deficit management. State budgets are critical because states handle key development areas including education, health, agriculture, and infrastructure.
Kerala Revenue Sources
State revenue comes from three sources: own tax revenue (state GST, stamp duty, excise, vehicle tax), non-tax revenue (fees, fines, interest), and transfers from the Centre (share of central taxes as per Finance Commission recommendations, plus grants-in-aid for specific schemes).
Fiscal Deficit and State Borrowing
Under the FRBM framework, states target a fiscal deficit of 3% of GSDP. States can borrow from the market via State Development Loans (SDLs), and the central government also provides loans. The RBI manages the borrowing calendar for states to ensure orderly market conditions.
Explore More
Compare Kerala with other states
Side-by-side comparison of fiscal metrics across Indian states