Kerala Economic Changes: God’s own ark of progress and paradoxes | Kochi News – The Times of India


Kerala has seen drastic socio-economic changes over the past 25 years, with its human development indices now challenged by health and financial issues.

As we cross the first quarter of the third millennium, it’s a good time to review the rapid socio-economic changes that Kerala has undergone. TOI takes a look at the numbers buried in govt files and Planning Commission reports of the last 24 years that hold a mirror to the way people lived and what the future holds
Twenty-five years is indeed a long time, especially in a person’s life. Some turn adults, others enter middle age and many walk into the sunset years. To begin with, Kerala@2000 was much greener and cleaner.

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There were no malls or mobile towers, Metro or metrosexuals. Mammootty and Mohanlal were reigning superstars with no multiplexes and OTT stars to challenge them.

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Fast forward 2025, Kerala’s rapid real estate growth has blurred the rural-urban divide, buoyed by the remittance economy.
Like every state in the country, Kerala too has a deeper story to narrate, as aspirations and dreams fall short of rude realities. A good pointer to understand this paradox is by deciphering the available socio-economic data.

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To begin with, Kerala’s famed human development indices are challenged by the rapid spread of communicable and non-communicable diseases, majorly impacting an aging population that will cross 67 lakhs in two years.

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Climate change is also throwing up new health challenges, besides destroying the Ghats and coast, resulting in huge losses to the economy.

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When it comes to the state of finance, Kerala is reeling under a severe fiscal crisis, with overall debt increasing by 1,585%, whereas the total receipts increased by 604% in 24 years. The silver lining is the remittance economy, which increased by 1,777%.

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As Malayalis left for work abroad, migrant workers grew in strength, totalling 27%, becoming the backbone of Kerala’s economy. In the Kerala growth story, the third biggest revenue earner is excise duty that increased by over 300%.

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On the academic front, enrollment in primary school has come down. A few engineering and medical colleges even went up for sale.

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Agriculture has also taken a hit with all major crop cultivation, barring a few, declining. Net sown area has shown an overall decrease of 44%.

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On a positive note, crime data shows that Kerala has been sensitive in handling crimes against children, women and the elderly, with a 916% increase in cases registered under special laws.

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The state has indeed achieved a lot and finds place amongst the top livable places.

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But the Kerala story is incomplete if the state fails to do a reality check and address the inherent contradictions buried within the aspirational society.





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