Karnataka Tops in Spending on Services

Published: 11th December 2015 05:24 AM  |   Last Updated: 11th December 2015 05:24 AM   |  A+A-

BENGALURU: Brickwork Ratings, the Indian credit rating agency, has rated the state as having the highest expenditure on economic services in which agriculture, irrigation, energy and transport sectors account for about 44 per cent of the total expenditure.

The recently released edition of the state finances handbook by the agency has assessed all the states on their criteria looking at their ability and willingness to honour debt obligations. The criterion considers an analysis of political, economic, budgetary, financial and institutional parameters deemed relevant to the state government’s creditworthiness. The state has also been ranked as one of three states, along with Goa and Gujarat, who have managed to control their administrative expenses.

The economic expense of the state includes expenditure of 44 per cent on agriculture, irrigation, energy and transport sectors.

Incidentally, Karnataka also fares well in its allocation towards social expenses. The focus on agriculture has been affirmed by the presentation of a separate budget for agriculture and allied activities, a trait it shares with Andhra Pradesh and Odisha.

Not surprisingly, the state also leads the service sector with its ever expanding IT/BPO/KPO sector, beating out Tamil Nadu, Maharashtra and Andhra Pradesh. Together these states account for about three fourths of India’s IT exports.


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp