The Supreme Court Today (April 1st) issued a unified directive regarding Kerala’s request for interim relief and the state’s lawsuit against the central government’s restrictions on its borrowing capabilities. Kerala initiated legal action in the apex court under Article 131, alleging that the Centre infringed upon its authority to manage the state’s financial affairs.
Today, the Supreme Court of India postponed its decision on a plea by the Kerala government regarding a financial dispute with the Centre. The dispute centers on allegations of the Union government interfering with Kerala’s borrowing powers. The Court encouraged both parties to resolve the issues through dialogue. Kerala emphasized its limited role in the country’s debt profile.
On Monday (11th March): The Supreme Court has urged the Central government to provide Kerala with a one-time financial relief package to address the state’s economic challenges. Emphasizing cooperation between the central and state governments, the Court proposed temporary concessions for Kerala. This direction follows Kerala’s plea citing financial crisis exacerbated by borrowing restrictions and unpaid dues.