Wednesday, October 7, 2026

Kerala’s Education Budget Crisis: Is the State Starving its Schools and Universities?

Thiruvananthapuram: Kerala, often lauded for its high literacy rates, is facing sharp criticism regarding its fiscal commitment to the education sector after a revelation by a top bureaucrat exposed a shockingly low annual capital budget allocation.

​K.M. Abraham, Chief Principal Secretary to the Chief Minister and CEO of KIIFB (Kerala Infrastructure Investment Fund Board), disclosed at The Indian Express ‘Dialogue’ event that the state spends a meagre ₹646 crore to ₹650 crore annually from the capital budget across all six segments of the education system. This encompasses Primary, Secondary, Higher Secondary, College Education, University Education, and Sports.

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​The revelation has immediately triggered a debate, with critics accusing the State Finance Department of “discrimination” against the crucial education sector. The figure of just ₹650 crore for capital expenditure stands in stark contrast to the development projects Abraham himself claims KIIFB is implementing in the same sector, which are valued at approximately ₹8,000 crore.

​The contrast between the state’s direct capital budget allocation and the projected project value through a special purpose vehicle like KIIFB highlights a potential systemic issue in how the state prioritizes and funds the foundational development of its education infrastructure. The controversy is putting pressure on the government to justify the minimal direct capital outlay for such a vital sector.

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