Shashi Tharoor’s Opinion Piece Stirs Up Tensions Within KPCC and UDF

Congress MP Shashi Tharoor's opinion piece, titled "Changing Kerala: Lumbering Jumbo to a Lithe Tiger', published in The New Indian Express, has caused a ripple effect within the Kerala Pradesh Congress Committee (KPCC) and UDF. While some are in agreement with Tharoor's optimistic view on Kerala’s progress in creating an investor -friendly environment, others, including opposition leader V D Satheeshan and UDF convenor M M Hassan, have taken issue with his praise of the state''s efforts in fostering a startup- friendly atmosphere.

In his article, Tharoor commends Kerala's remarkable strides in nurturing a vibrant startup ecosystem over the past 18 months during CPI M led LDF government. He highlights that, between July 1, 2021, and December 31, 2023, Kerala's startup ecosystem achieved an impressive compound annual growth rate (CAGR) of 254 percentage, far surpassing the global average of 46 percentage for the same period.

Tharoor points out that in 2023 alone, Kerala’s startups raised $33.2 million, marking a 15 percentage increase from the previous year, with seed-stage funding seeing a notable 40 percentage rise. The Kerala Startup Mission has played a pivotal role in this growth, positioning the state as a global hub for deep-tech innovation. A prime example of this ambition is the $180 million emerging technology hub being developed at Technocity in Thiruvananthapuram, which complements the nation''s first Technopark established in 1992.

The article further highlights Kerala’s marked improvements in ease of doing business, with the state rising from 28th to 1st place in national rankings. Tharoor stresses that while it takes 114 days to start a business in India, a startup in Kerala can be launched in just 2 minutes—an achievement noted by P Rajeev, the state’s industrial minister.
Tharoor also praises the new industrial policy, which focuses on knowledge-based industries such as AI, blockchain technology, and machine learning, further strengthening the startup environment. Under the "Year of Enterprises" initiative, more than 290,000 MSMEs have been established, with significant investments directed towards supporting women and transgender entrepreneurs. He mentions that the annual "Huddle Global" event has become a gathering spot for tech entrepreneurs, startups, and policy experts from across the country and increasingly from around the world. Additionally, Kerala’s commitment to advancing its startup sector is demonstrated by the recent establishment of India’s first digital science park in Thiruvananthapuram, a $181-million multidisciplinary initiative.

Tharoor’s article underscores Kerala’s impressive strides in building a robust startup ecosystem, positioning the state as a significant player in India’s economic rise and a recognized leader in fostering entrepreneurial excellence.

Stirring Conflict in KPCC
Despite the compelling data in Tharoor’s analysis, the article has not been well received by certain Congress leaders. Opposition leader V D Satheeshan was the first to dismiss Tharoor’s claims. Even though much of the data was sourced from the Global Startup Ecosystem Report 2024, Satheeshan claims that the figures are exaggerated. He strongly disagrees with the notion that the startup industry is booming in Kerala, despite the publicly accessible data. UDF convenor M M Hassan also criticised Tharoor, suggesting that he should have made these positive remarks about Kerala only after resigning from the AICC working committee. Hassan added that the Congress party would carefully review the article and decide on future actions.
Former MP K Muraleedharan’s statement, declaring that Tharoor’s views do not reflect the official stance of the Congress party, has added fuel to the fire. His remarks point to a growing internal discord, illustrating a disconnect between Tharoor’s personal perspective and the broader political strategy of the Congress in Kerala. Muraleedharan also called for the High Command to take a clear stance on Tharoor’s article. Although KPCC President K Sudhakaran did not criticize Shashi Tharoor, he stated that the startup boom was made possible under the UDF government. However, he also pointed out that there has been no progress since then, despite the fact that the LDF government has made tremendous advancements in the startup sector.
The criticisms from senior leaders such as K C Venugopal and Ramesh Chennithala only serve to further highlight the party’s reluctance to acknowledge the tremendous growth Kerala has experienced over the past nine years. They continue to peddle the same outdated argument that Kerala’s startup sector has stagnated in recent years.
Apart from criticisms youth congress leader and former MLA K Sabarinathan has shared the same opinion as Tharoor where he claims that Kerala has been progressing in terms of launching of new start ups in the state.

Chief Minister Pinarayi Vijayan

Appreciation from LDF

Kerala Chief Minister Pinarayi Vijayan appreciated Shashi Tharoor for highlighting the staggering growth of MSMEs in the state, without directly mentioning his name. “Recently, a people's representative wrote in an article that Kerala''s industrial growth has been recognised as a model even for the global startup ecosystem. This should be appreciated. He did not merely make a statement in a speech, but instead, wrote a detailed article backed by facts and figures”, the Chief Minister said during the inauguration of the Kodancherry- Kakkadampoyil road on Saturday.

CPI M State Secretary M V Govindan also commended Tharoor for pointing out the ease of doing business in Kerala, contrasting it with the claims made by the Congress. “This is a genuine acknowledgment of the progress Kerala has made over the past nine years”, he added. State Industries Minister P Rajeev remarked that the article was based purely on facts and could not be dismissed by invalid arguments from opposition leaders.

Standing Firm on His Opinion

In response to the backlash, Tharoor remained steadfast in his views. Speaking to the media outside his residence, he said, “I’m someone who acknowledges the good when governments perform well. If a state is doing well, I will say so. Some matters should be viewed beyond politics. I based my article on all available data. The opposition leader should read my article thoroughly before criticising it. If there’s anything inaccurate in the article, I’m willing to correct my stance in the same forum,” Tharoor asserted. "The ranking is not released by Kerala Government or CPI M. We cannot turn a blind eye to that. If we are hoping for the next generation a better future here in Kerala , we should appreciate the good efforts taken by the government'' -- he added.