CM Siddaramaiah presents 3.71 lakh crore budget, focus on Ahinda
Karnataka Chief Minister Siddaramaiah presented a Rs 3,71,383 crore State budget for the year 2024-25 on Friday. Ahead of Lok Sabha polls, Siddaramaiah's budget seems to have his 'Ahinda' stamp with a substantial allocation for the SC, ST, backward class and minorities. Presenting his 15th budget (eighth as CM), Siddaramaiah presented a deficit budget.
The CM claimed that his budget maintained fiscal discipline that is limited under Karnataka Fiscal Responsibility Act 2022. "I have ensured fiscal discipline by keeping the fiscal deficit within 3 per cent of GSDP and outstanding liabilities within 25 per cent of GSDP.
Blaming the Union government for not giving 'justice' to the State in 15th Finance Commission, unscientific implementation of GST, steep price rise nationwide and huge income disparities on one side, on the other side "the budget has focused on welfare schemes that tend to increase revenue deficit. "Though I have presented as revenue deficit budget, I have increased the budgetary allocation for welfare programmes to Rs 1.20 lakh crore," he said, adding that he is confident of achieving revenue surplus after next two years as projected in Medium Term Fiscal Policy
Of the total expenditure Rs 3.71 lakh crore budget size includes revenue expenditure of Rs 2.90 lakh crore, capital expenditure of Rs 55,877 crore and loan repayment of Rs 24,974 crore. "Through Guarantee schemes, an average of Rs 50,000 to Rs 55,000 is transferred to each family. Implementation of Guarantee schemes has brought us admiration from entire world," he said
In order to mobilise funds, Siddaramaiah in his budget has increased targets in some of the sectors. According to CM, he has given a target to collect Rs 1.10 lakh crore for the Commercial Tax department for this year which was 1.01 lakh crore last year, while Excise, it is Rs 38,525 Crore for this year which was Rs 36,000 crore in 2023-24. He also mentioned rationalizing tax slabs of IML and beer. Targeting more revenue, the CM announced shops and establishments will be allowed to open till 1 am in Bengaluru and 10 other corporation areas.
The CM announced many projects for the state capital, which is also politically very important for the ruling party. While the focus seems to be on easing traffic congestion. Stressing on it, he said it is difficult to widen existing roads due to scarcity of land, and the government is proposing to construct tunnel roads. "On a pilot basis, a tunnel road will be constructed this year at Hebbal junction," he said.
While, CM focused novel theme like Kisan malls for farmers at selected districts, spice park will be developed at Chikkamagaluru, more English schools to be started this year by upgrading 2000 government primary schools as bilingual schools, for women, Rs 86,423 crore has been allotted for women-oriented schemes, for children, it is Rs 54,617 crore.