Thiruvananthapuram, March 4 (NationPress) The Union Finance Ministry has granted a special allocation of Rs 360 crore to Kerala as part of the Compliance Reduction & Deregulation (Phase-I) segment under the Special Assistance to States for Capital Investment (SASCI) program. This funding highlights the state's organized efforts to alleviate regulatory challenges and enhance its investment environment.

The funds will be disbursed in a single payment, serving as a substantial acknowledgment of Kerala’s governance model focused on reforms aimed at improving the ease of doing business and fostering capital development.

The initiative was managed at the state level by the Kerala State Industrial Development Corporation (KSIDC), which acted as the central agency for the nine-month Compliance Reduction and Deregulation program.

This reform initiative emphasized simplifying processes and enabling businesses, particularly MSMEs, to deploy resources such as land, labor, machinery, and infrastructure more effectively without the burden of intricate compliance demands.

The reform process was guided by the state Chief Secretary, with a focus on business growth, regulatory efficiency, and boosting the state's competitive edge.

At the national level, Dr. Manoj Govil, Secretary of Coordination in the Cabinet Secretariat, served as a Task Force Member overseeing the program's implementation in Kerala, while the state's Additional Chief Secretary for Industries and Commerce, A.P.M. Mohammed Hanish, played a crucial role in ongoing evaluations and inter-departmental collaboration in line with the Cabinet Secretariat.

The sanctioned funds will facilitate 13 capital investment projects managed by key state agencies, including the Kerala Road Fund Board, Kerala Water Authority, Roads and Bridges Development Corporation of Kerala, and Kochi Metro Rail Limited.

These initiatives are anticipated to bolster infrastructure readiness and elevate the state’s appeal to investors.

Kerala’s reform actions included relaxations in construction rules, streamlined master planning processes, the establishment of industrial land banks, and simplified approvals for building and occupancy.

The Compliance Reduction and Deregulation initiative covers five key areas: land, labor, construction, utilities, and permissions, organized into 23 sub-categories across 11 departments.

Officials indicated that the systematic streamlining of regulations has decreased compliance expenses, improved approval timeframes, and enhanced transparency, solidifying Kerala’s transition towards performance-based governance and a more investor-friendly industrial ecosystem.