Kerala’s governance performance in the SKOCH State of Governance 2024 reflects a mixed trajectory, with notable sectoral strengths but persistent challenges in scale and project depth. Ranked #28 nationally, the state has demonstrated quality over quantity in its projects. However, the relatively low number of well-performing projects—only three considered impactful—has limited Kerala’s climb in the overall rankings. Compared to peer southern states like Tamil Nadu and Karnataka, which showed stronger overall governance engagement and higher ranks, Kerala’s output appears modest. That said, Kerala’s strategic focus on targeted reforms, especially in Transport, Sports & Youth, and Animal Husbandry & Fisheries, has yielded noteworthy outcomes.
Kerala’s SKOCH State of Governance performance indicates a need for wider project coverage, particularly from municipal and district-level departments. While the state ranks well in sectoral verticals—#1 in Transport and Sports & Youth, #3 in Animal Husbandry & Fisheries, and #8 in District Governance—it falls behind in overall state rankings due to a smaller project footprint. The experience of top-performing states like Maharashtra and Gujarat underlines the importance of volume and district-led innovations. Kerala’s ease-of-doing-business rank at #6 further underscores that while policy intent exists, the reach and reporting of projects remain limited, which hinders broader visibility and recognition.
From a fiscal perspective, Kerala faces entrenched challenges. It ranks low in the SKOCH State of Financial Prudence Index, primarily due to high debt-to-GSDP ratios, limited own-tax revenue, and rising revenue expenditure. Compared to peers like Tamil Nadu and Gujarat, Kerala’s dependence on central devolution remains high, limiting fiscal flexibility. Improving internal revenue mobilisation through GST compliance, property tax reform, and expanding the base of non-tax revenues would be critical. Without addressing these fiscal constraints, the state’s ability to finance new governance innovations or scale successful pilots will be severely hindered.
Kerala also underperformed in the SKOCH State of e-Government Infrastructure Index. With an EGDI score of 0.397 (ranked #8), it lags behind states like Haryana and Mizoram that have significantly invested in end-to-end digital service delivery platforms. The digital transformation of citizen services, especially in health, education, and public transport, needs scaling and deeper integration. Kerala’s longstanding reputation in human development could be more effectively leveraged through digital governance tools, ensuring equitable access and improved efficiency. The opportunity lies in shifting from isolated digital interventions to systemic, integrated platforms.
In terms of government transformation, Kerala did not make it into the top rankings, indicating that while it has a strong bureaucratic and administrative base, project innovation and responsiveness need greater emphasis. Peer states like Telangana and Andhra Pradesh demonstrated success in government transformation through real-time dashboards, blockchain-enabled processes, and grievance redressal platforms. Kerala’s government departments have strong institutional capacity but must modernise their service models, especially in the context of citizen engagement and proactive delivery of welfare benefits.
Kerala’s overall performance in the SKOCH State of Development and SKOCH State of Government Efficiency indices remains subdued. Despite its historical advantage in human development indicators, the state’s current governance delivery and fiscal strategy do not match its potential. Kerala ranks below other mid-tier performers like West Bengal, Madhya Pradesh, and even Chhattisgarh on both efficiency and development index.
To improve, Kerala must increase the quantity and diversity of high-quality projects, adopt a district-focused strategy for governance innovations, and address structural fiscal weaknesses. The state has the technical and human capacity—what is needed now is a strategic pivot toward implementation-driven, scalable governance models aligned with digital and fiscal prudence.
