Kerala CM urged to tap UAE-based NRKs for high-speed rail project proposal
Plan seeks investor-friendly ecosystem to tap Kerala diaspora’s ‘untapped resources’
Thiruvananthapuram: A veteran Non-Resident Keralite (NRK) who has spent nearly five decades in the UAE has urged the Kerala government to channel expatriate remittances into productive investments through the proposed Thiruvananthapuram–Kasaragod high-speed rail corridor.
In a letter to Chief Minister V.D. Satheesan, K.V. Shamsudheen, Chairman of the Pravasi Bandhu Welfare Trust, said Kerala’s diaspora should be transitioned from remittance providers to long-term investors, beginning with the ambitious rail project linked to “Metro Man” E. Sreedharan.
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Bond model inspired by Konkan Railway
Shamsudheen suggested the state raise funds through secured, redeemable, tax-free, non-convertible bonds issued to Non-Resident Keralites, drawing parallels with the financing model used for the Konkan Railway.
He said he had earlier promoted Konkan Railway tax-free bonds among NRIs in the UAE and witnessed strong participation in nation-building initiatives.
If even a fraction of these savings is channelled into infrastructure, industries and employment-generating projects, Kerala can fundamentally transform its economy.K.V. Shamsudheen
Massive remittance base highlighted
He noted that Malayalis send an estimated ₹2.3–2.5 lakh crore annually to Kerala, accounting for nearly one-fifth of India’s total inward remittances.
He also pointed out that over ₹3 lakh crore in Non-Resident External (NRE) deposits remains parked in banks in Kerala, earning modest returns instead of being deployed in productive sectors.
Call for shift towards investment-led growth
Shamsudheen argued that Kerala’s key challenge is not a lack of capital but limited avenues to convert household savings into long-term investments.
He said a significant share of expatriate wealth continues to flow into non-productive assets such as gold and real estate, instead of job-creating sectors.
Alignment with state policy direction
He said the proposed model aligns with the government’s budgetary vision of transforming diaspora remittances into investments for development.
He also urged the state to extend similar bond-based financing models to other major infrastructure projects.
‘Untapped potential’ of Kerala diaspora
“Kerala is not merely a land of opportunities, it is a land of untapped resources. What is required is an investor-friendly ecosystem capable of inspiring confidence among the global Malayali community,” he said.
