The Kerala government has put out a poster campaign demanding ₹1.7 lakh crore compensation from the central government for alleged losses due to the Goods and Services Tax (GST) and the revenue deficit grant.
The poster campaign, which was launched on February 8, 2024, features the slogan "Fight to Protect Federalism". It also lists a number of demands, including:
- Payment of GST compensation
- Payment of revenue deficit grant
- Not cutting the state's borrowing limit on account of security clearance for KIIFB/KSSPL loans
- Not including of 'Public Account Money' under 'Loans' & Don't cut state's borrowings
- A fair share of taxes is states' right: Pay divisible pool share of taxes to Kerala
- 'Public Account Money' is not loan' & Don't cut state's borrowings limit in the name of it
- Pay all the pending Central Grants
The Kerala government has been a vocal critic of the Centre's handling of the GST, arguing that the state has not received its fair share of compensation. The state has also been facing a severe financial crisis, with a high revenue deficit.
The poster campaign is likely to further strain relations between the Kerala government and the Centre. The Centre has not yet responded to the demands made in the poster campaign.
It is important to note that the poster campaign is part of a larger political battle between the Kerala government and the Centre. The two sides have been at odds over a number of issues, including GST, the revenue deficit, and the state's borrowing limit. The poster campaign is likely to be seen as an attempt by the Kerala government to put pressure on the Centre to make concessions.
It is also worth noting that the demands made in the poster campaign are not without controversy. Some experts have argued that the Kerala government's demands are unrealistic and that the Centre is not obligated to meet them. Others have argued that the Centre needs to do more to help the Kerala government, given the state's difficult financial situation.
The fight to protect federalism is a complex issue with no easy answers. The poster campaign is likely to generate a great deal of debate and discussion in the coming days and weeks.
