The Kerala Infrastructure Investment Fund Board (KIIFB) has taken a significant step towards boosting the state’s industrial landscape, giving the green light to form a Special Purpose Vehicle (SPV) for the ambitious Vizhinjam-Kollam-Punalur Industrial and Economic Growth Triangle Project. This crucial development was announced by Finance Minister K.N. Balagopal, marking a new chapter in Kerala’s infrastructure journey.
Following KIIFB’s approval, the focus now shifts to obtaining the State Cabinet’s endorsement for the SPV’s official registration. Minister Balagopal shared these updates during a press conference held on Monday, October 27, 2025, as part of KIIFB’s ongoing 25th-anniversary festivities, highlighting the board’s enduring commitment to Kerala’s future.
Originally sanctioned by KIIFB in November 2024 and prominently featured in the 2025-26 State Budget, the Growth Triangle project is strategically envisioned to harness the immense potential of the Vizhinjam international seaport. As articulated by Mr. Balagopal, this initiative aims to extend the port’s economic benefits across the entire state.
This transformative project is anticipated to inject new vitality into industries throughout South Kerala, forging vital connections between coastal areas, central Kerala, and the high ranges via robust road and rail networks. Preliminary studies and land identification efforts are already underway, laying the groundwork for its successful implementation.
Celebrating a Quarter Century of KIIFB’s Impact
Chief Minister Pinarayi Vijayan is set to officially open KIIFB’s grand silver jubilee celebrations at the Nishagandhi Auditorium in Thiruvananthapuram on November 4. The evening, commencing at 6 p.m. and presided over by Minister Balagopal, will feature KIIFB Chief Executive Officer K.M. Abraham presenting an insightful paper on ‘Nava Kerala Vision and KIIFB,’ reflecting on the board’s past achievements and future aspirations.
Minister Balagopal proudly stated that KIIFB has solidified its reputation as a “trusted government instrument,” consistently driving significant change and development across Kerala.
Established on November 11, 1999, KIIFB was revitalized and restructured through a crucial law amendment in 2016. Since then, it has demonstrated an impressive track record, approving a staggering 1,190 projects valued at ₹90,562 crore. Of this, ₹37,388 crore has already been disbursed. So far, projects worth ₹21,881 crore have reached completion, with an additional ₹27,273 crore worth of projects currently in various stages of progress. The Public Works Department stands as the largest beneficiary, overseeing 516 projects with a cumulative value of ₹34,330 crore.
Addressing Financial Confidence: KIIFB’s Robust Repayment Strategy
Addressing any potential concerns regarding KIIFB’s loan repayments, Mr. Balagopal assured the public that the board operates under a “well-planned and robust asset liability management system,” ensuring financial stability.
He expressed strong confidence, stating that he foresees no scenario where KIIFB’s repayment obligations would be jeopardized.
Furthermore, the Minister reaffirmed the government’s strategic vision to integrate more revenue-generating schemes under KIIFB’s umbrella in the coming years, enhancing its long-term financial viability.
K.M. Abraham and Additional CEO Mini Antony were also in attendance at the event, underscoring the collective leadership driving KIIFB’s initiatives.