Kerala White Paper Reveals Severe Fiscal Stress and High Debt

The Kerala government presented a White Paper highlighting severe fiscal stress, with outstanding liabilities reaching 5.07 lakh crore rupees. Committed expenditures, including salaries, pensions, and interest payments, consume 77.6% of the state's total revenue receipts. The report recommends urgent reforms in public sector enterprises, increasing private investment, and enhancing capital expenditure, which currently stands at a dismal 1.3% of the Gross State Domestic Product.