There are multiple reasons for why Kerala is not so developed industrially like Tamil Nadu. But there is one major reason. It is none other than,
“Communism”
Yes, Kerala is a communism dominant state. State is alternatively ruled by Congress and Communist party for the past 2 decades. Most of the schemes and plans initiated by the Kerala Government will be based upon people's welfare. Kerala Government will never initiate or compromise on Nature and People's welfare.
Most of the industries in Tamil Nadu are built by destroying the nature and also against the people's welfare (one section). This will not happen in Kerala. People of Kerala have strong agitation mind. Certain things are not possible in Kerala. Especially Corporate culture in Kerala isn't that easy. Few corporate companies have entered Kerala during the Congress government. Communist government might not have allowed them inside, as corporate companies will not allow the employees to form trade union and other aspects.
By the way, Kerala is a developed state. It's all because of money from outside Kerala. One can see Keralites all over the world, especially in the gulf countries. They contribute more for the development and economy of Kerala.
To be short,
wherever there is a domination of communism, there will be less corruption and less development.
Note: Tamil Nadu is well developed with high corruption.
Cheers!
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