Kerala Cabinet Clears Saral Keralam to Fast-Track Investment Approvals, Says CM Satheesan

The Keralam Cabinet on Wednesday approved ‘Saral Keralam’, a new initiative aimed at simplifying and speeding up investment approvals in the state, with the government proposing amendments to 19 existing laws as part of the reform.

Chief Minister V D Satheesan said the initiative is based on the principle of “One State, One Approval, One Document” and is intended to provide a coordinated single-window mechanism for investors. The move comes against the backdrop of prolonged delays in processing some investment proposals, with some cases remaining pending for five to seven years, he said.

Under the new system, investment proposals between Rs 25 crore and Rs 50 crore will be handled by a district-level body, while projects above Rs 50 crore will come under a state-level body. The Kerala State Industrial Development Corporation (KSIDC) will coordinate the process.

Departments will continue to carry out their statutory scrutiny, but they will have to examine proposals and submit their responses within prescribed timelines. The approval body will then consider the departmental responses and place the proposal before the designated committee for a final decision.

An appeal mechanism will also be available when a department objects to a proposal, allowing investors to challenge such objections instead of leaving projects indefinitely pending.

The government said the system was prepared after consultations with various departments, with their suggestions incorporated into the final proposal.

Faster approvals could potentially reduce uncertainty for investors and help projects move more quickly from proposal to implementation. If approved projects are actually executed, they could bring fresh capital, generate construction and permanent employment and create wider demand for local suppliers and services.