Kerala Budget 2026: ₹1,182 Crore for Roads, Bridges, and Tunnel Study
January 29, 2026
Kerala's 2026 Budget has set aside ₹1,182.43 crore for the Public Works Department. Out of this, ₹1,091.15 crore will be spent on roads and bridges, and ₹91.28 crore on national highways. Finance Minister K.N. Balagopal disclosed that 898 km of State highways now have four lanes, while 3,193 km have two lanes. District roads also saw upgrades, with 52 km developed into four lanes and 10,953 km into two lanes.
The government has allocated ₹10 crore for a feasibility study on a tunnel road from Kattappana to Theni, which is expected to cut travel distance by at least 20 km along the hill highway.
Key allocations include ₹300.50 crore for upgrading main district roads by designing and overlaying them, and ₹100 crore under the Kerala State Transport Project phase two to develop several roads. Construction and maintenance through NABARD funds will receive ₹165 crore, while ₹62 crore is targeted for State highway modernization using Central Road Fund.
To complete ongoing bridge projects and start new ones with NABARD loans, ₹95 crore is allotted. Designing and overlaying works on State highways will get ₹87 crore. Annuity payments of ₹58.80 crore are planned for road construction in other cities under the PPP model.
Rail safety funds rise to ₹25 crore from ₹16 crore, including ₹5 crore for building an underpass at Dharmadom railway station in Kannur. Aging bridges will be restored with ₹46.46 crore. An allocation of ₹41 crore is set for finishing State highway works with safety measures and traffic boards.
Bridges connecting tribal ‘Unnathis’ will be restored at ₹25 crore, and the budget for road safety has increased from ₹15 crore to ₹23.37 crore to lower accidents.
Additionally, ₹15 crore will develop pilgrim roads in Pathanamthitta and Kottayam. To improve the Kerala Highway Research Institute, ₹21.50 crore is allocated to upgrade it into a Centre of Excellence.
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Tags:
Kerala Budget 2026
Public Works
Roads And Bridges
Tunnel Road
Road safety
Infrastructure
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