The government’s spending on infrastructure is likely to take a hit for the second consecutive year with the earnings of the Kerala Infrastructure Investment Fund Board (KIIFB) through motor vehicle tax and fuel cess registering a negative growth.
KIIFB’s provisional data for the 2021-22 fiscal show that it received the lowest amount of petroleum cess in the last fiscal after 2017-18 and the lowest motor vehicle tax after 2018-19, indicating a drop in fuel consumption in Kerala in the past two years.
As per the KIIFB (Amendment) Act, 2016 10% of motor vehicle tax is set aside for KIIFB in 2016-17, the share will increase by 10% every year until it reaches 50% in the fifth year.
