Kerala budget proposes 'Invest Keralam' with eye on ease of doing business; ₹100 crore promised for MSMEs
Stay updated with Kerala Budget 2026-27 Revised Live Updates as Chief Minister V.D. Satheesan presents the UDF government's first budget. Track budget speech highlights, key announcements, economic policies, welfare measures, and development plans on OnManorama.
Stay updated with Kerala Budget 2026-27 Revised Live Updates as Chief Minister V.D. Satheesan presents the UDF government's first budget. Track budget speech highlights, key announcements, economic policies, welfare measures, and development plans on OnManorama.
Stay updated with Kerala Budget 2026-27 Revised Live Updates as Chief Minister V.D. Satheesan presents the UDF government's first budget. Track budget speech highlights, key announcements, economic policies, welfare measures, and development plans on OnManorama.
Successive governments in Kerala have spoken about improving the ease of doing business in the State. The latest budget has sought to take that agenda forward through the proposed 'Invest Keralam' initiative, aimed at creating a more investor-friendly ecosystem.
The scheme proposes a series of measures to simplify the process of doing business and attract quality investments to the State. To support this initiative and strengthen Kerala's startup and entrepreneurial ecosystem, the government has earmarked ₹100 crore under the Kerala MSME Growth Scheme. The budget noted that despite Kerala's strengths in human capital, literacy, healthcare and education, factors such as limited land availability, high land and labour costs, and delays in obtaining clearances have often discouraged investors.
To address these challenges, the government will establish a specialised, data-driven cell called 'Invest Keralam'. The cell will function as an apex single-window system, providing investors with access to land, regulatory and statutory clearances and post-investment support. The government also proposes time-bound measures to resolve issues related to land acquisition and introduce a standardised project implementation protocol to accelerate project execution.
An Investment Advisory Council, chaired by the Chief Minister and comprising experts from various sectors, will be formed to monitor project progress and guide investment promotion activities in the State.
₹100 crore for MSME growth
The budget also announced the Kerala MSME Growth Scheme, aimed at helping establish 10,000 new micro, small and medium enterprises across the State. An amount of ₹100 crore has been earmarked for the scheme.
The scheme will provide tax incentives and institutional support for enterprises based on innovative technologies. To help entrepreneurs overcome financial challenges, the government proposes to make available a Revolving Fund, Technology Fund and Challenge Fund.
The scheme will also provide access to specialised techno-mentors and management mentors to guide entrepreneurs in technical and business matters.