• 27 Aug 2025 05:28 PM
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GST reforms: ‘State revenue should be protected, or welfare schemes will be affected’, says Kerala finance minister

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Kerala Finance Minister KN Balagopal today said that the Centre's GST reforms, should consider impact on state revenues as this could effect welfare schemes.

Kerala state Finance Minister KN Balagopal today said that the central government's planned goods and services tax (GST) reforms, should consider impact on state revenues.

Speaking to reporters the minister added that any impact on the state revenues could in result impact welfare schemes for the common people.

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Watch: What did Kerala Finance Minister say?

"When you reduce taxes, it is important that the revenue of states be protected, otherwise welfare schemes will be affected," Balagopal told reporters on August 26.

Kerala ups Onam gift for workers in employment gaurantee schemes

Meanwhile, the Kerala government on August 26 also announced that it has increased the Onam gift for workers in its rural and urban employment guarantee schemes, for a little extra relief during the festival season, according to a PTI report.

In a statement, the state finance minister said that each worker will receive 1,200 this year, up from 1,000 last year. "The increase of 200 will benefit nearly 526,000 workers across the state," he said in a release here.

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Who is eligible?

Kerala's rural and urban employment guarantee schemes employ over 5,19,000 workers, who have completed 100 days of work under the rural employment guarantee scheme.

All these workers will share an allocation of 51.96 crore in the last financial year.

Further, the state's Ayyankali Urban Employment Guarantee Scheme employs another 6,368 workers, who also completed at least 100 days of work. These workers will receive the allowance, with 63.68 lakh set aside for the payments, Balagopal added.

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Kerala hikes Onam bonus for 13 lakh employees, pensioners

On August 25, Balgopal had announced higher Onam bonuses and allowances for 13 lakh staff employed with the state government, teachers, pensioners, and thousands of other workers, as per another PTI report.

  • The bonus for employees and teachers will increase by 500 to 4,500 this year.
  • Those not covered by the bonus will instead receive a special festival payment of 3,000, up from 2,750.
  • Service pensioners will get 1,250 as a festival allowance, 250 more than last year, while retirees under the participatory pension scheme will also benefit, Balagopal said in a release.
  • The state will provide all government staff an Onam advance of 20,000, while part-time and contingent workers will receive 6,000.
  • Contract and scheme workers will see their festival allowance rise by 250, the minister said.
  • Payments for different groups will range from 1,250 for pre-primary teachers and staff in special schools, to 1,550 for midday meal workers in schools.
  • ASHA workers, Buds School staff, palliative care nurses, Mahila Samakhya Society messengers, and school counsellors under the Kishori Shakti Yojana will each get 1,450.
  • Anganwadi and Balavadi helpers and ayahs will also receive the same amount.
  • SC/ST promoters, tourism department lifeguards, and home guards under the Home Department will be paid 1,460, the minister said.