Thiruvananthapuram: The Kerala government on Monday started disbursing salaries to its employees, with Finance Minister KN Balagopal assuring that both wages and pensions would be paid in full despite the state’s current financial constraints.
According to the minister, the salaries are being processed and will be deposited into the bank accounts of government employees within the next two to three days.
The minister also cited a specific technical issue with the Employee Treasury Savings Bank (ETSB) accounts that restricts withdrawals to Rs 50,000.
The state is facing a monetary shortfall due to a delay in receiving its due share of taxes and other financial assistance from the central government, said Balagopal. The funds are being delayed due to the case filed by Kerala against the Centre’s economic policies, Balagopal added.
The case is currently under review by the Supreme Court. A crucial point in the case is Kerala's plea that the debts incurred by the Kerala Infrastructure Investment Fund Board (KIFBI) should not be counted within the state’s debt limit.
Despite these issues, the minister confirmed that the government is committed to disbursing salaries and pensions without cuts.
