Published Jan 30, 2026 | 5:45 PM ⚊ Updated Jan 30, 2026 | 6:32 PM
The elderly comprises 18.2% of Kerala's total population, which is projected to touch 22.8% by 2036.
Synopsis: The state’s current elderly population of 18.2% has been projected to touch 22.8% by 2036, with women forming a majority — a phenomenon described as the ”feminisation of ageing”
Kerala has become the first state in the country to present a dedicated ‘Elderly Budget’, marking a major policy shift in how ageing is addressed in public finance.
Along with the Budget, the Finance Minister, KN Balagopal, on Thursday, 29 January, also tabled in the Assembly a separate ”Elderly Budget” reflecting the seriousness with which the government views geriatric care and senior citizens’ welfare.
The government framed the new initiative around the concepts of Care Economy and Silver Economy, aiming to move beyond charity-based support towards structured services, income opportunities and rights-based protection for senior citizens.
Kerala has set aside ₹46,236.52 crore for senior citizens in the 2026–27 financial year, accounting for 19.07% of the total Budget outlay.
Presenting the document, Balagopal said the approach would integrate the concerns of the elderly across departments and adopt a ”rights-based and life-course perspective” rather than a purely welfare model.
By 2036, the population above 60 years (currently 18.2% of the population) has been projected to reach 22.8 percent, with women forming a majority — a phenomenon described as the ”feminisation of ageing”
The Reserve Bank of India’s State Finances: A Study of State Budgets — Demographic Transition in India — Implications for State Finances noted that Kerala’s working-age population would sharply decrease by 2036.
Retirement homes capable of accommodating senior citizens, isolated in homes, would be set up. There should be a community kitchen, playground, entertainment options and health care systems in such homes.
Besides, the service of health volunteers needs to be ensured in such centres. The government will provide a subsidy to organisations, groups and individuals to set up such retirement homes. The Budget earmarked ₹30 crore for this purpose.
Volunteer forces will be formed at the local level to support home-alone elderly people. Local Self-Government Institutions will formulate schemes for this purpose. Telephone numbers will be published for the elderly people to call for help, including treatment.
On-call volunteer service will be provided under the control of Local Self-Government Institutions. An amount of ₹10 crore has been allocated for the scheme.
Pneumonia is one of the four main causes of fatality worldwide. The elderly, especially those with persistent ailments, are vulnerable to Pneumococcal disease. Therefore, the Budget proposed a ‘Pneumococcal Vaccination Drive’ among the elderly in Kerala.
The programme will target elderly persons aged 60 years and above from BPL families. An amount of ₹50 crore is earmarked for this programme.
An amount of ₹5 crore is allocated for Pain-Palliative-Elderly Health Care Centres.
The financial assistance being given to attendants of bedridden patients, severely physically and intellectually challenged, elderly people, cancer patients, etc., has been increased from ₹600 to ₹1000.
Share in the ‘Aswasakiranam’ Project is increased to ₹100 crore from ₹50 crore for facilitating the payment at a higher rate.
At present, the Vayomithram scheme is implemented in six corporations, 85 municipalities and four block panchayaths.
This scheme is a lifeline through mobile clinics that provide free medical examination, palliative home care, ambulance services and necessary counselling.
Besides, Vayomithram will function as a technical and economic bridge to resolve the drawbacks of the ‘Vathilpadi Sevanam’ scheme of the Local Self Government Department. It will ensure the continuity of care. Balagopal set aside ₹27.50 crore for the Vayomithram scheme.
Healthcare forms the backbone of Kerala’s Elderly Budget, with special emphasis on preventive, curative and rehabilitative services. A state-wide pneumococcal vaccination programme has been introduced for senior citizens from below-poverty-line families, especially those with co-morbidities.
The government has set aside ₹5,000 lakh for the initiative to reduce mortality from pneumonia and related infections. Medical infrastructure is also being redesigned with elderly needs in mind. Government medical colleges will be upgraded with specialised beds, ramps and modified toilets to ensure easier access for patients with limited mobility.
The Budget further proposed the establishment of a Centre for Geriatric Mental Health and Cognitive Rehabilitation at IMHANS (Institute of Mental Health and Neurosciences), responding to the growing burden of dementia, depression and age-related cognitive decline.
Under the SayamPrabha scheme, funds have been allocated for emergency medical assistance, free dentures under the Mandahasam programme and glucometers through Vayomadhuram.
These interventions aim to reduce out-of-pocket spending for senior citizens while strengthening community-based care.
Pensions continue to be the main pillar of elderly welfare in Kerala. The government has allocated ₹44,894.80 crore under the non-plan sector for social security pensions.
The universal pension has been increased to ₹2,000 per month, and more than three-fourths of the elderly population is now covered under one scheme or another.
The Budget also formally recognised unpaid care work within families. Under the Ashwasakiranam programme, financial assistance for caregivers of bedridden senior citizens has been raised to ₹1,000 per month, acknowledging the income loss faced by family members who quit work to provide full-time care.
For economically active elderly persons, the Budget introduced targeted livelihood support. The Navajeevan scheme offers subsidised self-employment loans for those aged between 50 and 65.
A new initiative called ”New Innings” implemented through the Kerala Startup Mission, seeks to utilise the professional experience of retired individuals in mentoring and enterprise creation.
Official figures show that nearly 38% of MGNREGS workers in Kerala are elderly, highlighting the need for continued income support in later life.
Vayojana Commission has been constituted as an independent and legal body. Kerala is the first state in India to launch such a commission for senior citizens.
The Commission’s fundamental mandate is to ensure the welfare, protection and rehabilitation of senior citizens. The Budget proposed setting aside ₹50 lakh for the Commission.
An amount of ₹5 lakh has been earmarked for Anuyathra, a charity group of retired All-India Service Officers.
Additionally, the Budget proposes regulated, fee-based Retirement Homes and specialised spaces such as Abhaya Kendra (Art Villages) for socially isolated elderly artists, expanding the scope of elderly care beyond conventional welfare schemes.
(Edited by Majnu Babu).
