Projects worth Rs 90,562 cr approved under KIIFB since 2016: Minister Balagopal

Thiruvananthapuram, Oct 27 (PTI) State Finance Minister K N Balagopal on Monday said that 1,190 projects worth Rs 90,562 crore have been approved under the KIIFB since 2016-17.

He was speaking at a press conference here to announce the 25th anniversary celebrations of Kerala Infrastructure Investment Fund Board, which will be held on November 4.

Although KIIFB was established on November 11, 1999, it became fully functional only after the amendment made in 2016, the minister said.

He recalled that the 2016-17 Budget had announced a comprehensive infrastructure development initiative worth Rs 50,000 crore through KIIFB.

"However, KIIFB has gone far beyond that and has played a crucial role in developing the state's basic infrastructure. It has completed several construction works, including buildings, bridges, and roads. So far, 1,190 projects worth Rs 90,562 crore have been approved," Balagopal said.

He said Rs 37,388 crore has been spent so far under KIIFB for various infrastructure projects, of which works worth Rs 21,881 crore have been completed, while projects worth Rs 27,273 crore are in progress.

Under the Public Works Department, 104 projects have been completed using KIIFB funds. "As part of the National Highway development, Rs 5,581 crore has been handed over to the centre for land acquisition, which accounts for 25 per cent of the total land acquisition cost," he said.

Balagopal also highlighted infrastructure developments carried out through KIIFB in sectors such as health, education, industry, and the Sabarimala pilgrimage region.

He said KIIFB has become a major instrument in transforming Kerala's infrastructure, overcoming several restrictions and roadblocks, including limitations on borrowing.

"Despite challenges, KIIFB moved ahead with major projects like the development of National Highways and the Vizhinjam port," he said.

Balagopal added that the state's progress has changed investor perception. "People who had gone abroad are returning, and investors from other states are now saying Kerala is an investment-friendly destination," he said.

Dismissing speculation about KIIFB’s financial sustainability, the minister said the board operates with a sound repayment plan.

"There is no question of shutting down KIIFB. We have maintained a proper balance between borrowing and repayment. All repayments have been made promptly," he said.

The government is planning schemes to generate revenue from KIIFB-funded infrastructure, he added.

"No decision has been taken to impose tolls on KIIFB-developed roads. However, steps will be taken to improve revenue generation. KIIFB remains an important capital mobilisation source for the state," he said.

Responding to a question about the controversy over the Prime Minister's Schools for Rising India (PM SHRI) scheme, Balagopal said the "real issue is the centre's failure to allocate Kerala its due share of funds." He said he had read that around 75 per cent of Bihar's revenue comes from central funds, whereas Kerala receives only 25 per cent this year.

"When I took charge, it was 34 per cent. The centre's share in our revenue has been decreasing every year," he said. PTI TBA SSK