Kerala FM blames Centre for cutting resources by Rs 23,000 crore

Kerala Finance Minister K N Balagopal has written to Nirmala Sitharaman asking her not to include borrowings of state entities while fixing their debt limits

Kerala Finance Minister K N Balagopal has blamed the Union finance ministry for putting it in a grave financial crisis by slashing its resources by Rs 23,000 crore in the current fiscal year.

The Centre has done so by reducing revenue deficit grants, ending goods and services tax (GST) compensation from July, and factoring in borrowings by state entities and public account liability while fixing borrowing limits of Kerala and other states, Balagopal said in a letter to Union Finance Minister Nirmala Sitharaman.  

He requested Sitharaman to exclude balances in the public account of states and borrowings by entities run