Every state except Bihar and Andhra Pradesh treated unfairly: Karnataka CM on Union budget

Karnataka CM Siddaramaiah

Karnataka Chief Minister Siddaramaiah strongly criticised the Union budget, alleging that every state except Andhra Pradesh and Bihar had been treated unfairly.

Speaking to reporters, Siddaramaiah said: "The Union Budget has focused on Bihar and Andhra Pradesh for the second consecutive year, driven by the BJP-led Union government's political compulsions."

He expressed disappointment that despite the BJP-JD(S) opposition alliance in Karnataka, the state had been sidelined. “Karnataka received an empty pot in the budget,” he said.

Accusing the Centre of political vendetta, Siddaramaiah claimed that the BJP-led government was punishing states that oppose Manusmriti and uphold the Constitution.

He added that none of Karnataka’s demands, placed during pre-budget consultations, had been fulfilled, expressing anger over the continued neglect of the state’s financial and developmental needs.

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The CM questioned the silence of Union Ministers from Karnataka, stating that not a single minister had spoken up for the state’s interests. He challenged BJP and JD(S) MPs and ministers to ask Prime Minister Narendra Modi why Karnataka had been ignored in the budget. Siddaramaiah reiterated that Karnataka, the second-highest tax-paying state in the country, received no new allocations in the budget.

He pointed out that the Centre had consistently ignored Karnataka’s financial needs, including its rightful Rs 5,495 crore share under the 15th Finance Commission. The state’s requests for GST compensation, relief for natural disasters, and funding for crucial irrigation projects such as Mekedatu, Upper Bhadra, Mahadayi, and Upper Krishna were overlooked. Similarly, no funds were allocated for key infrastructure projects in Bengaluru, including suburban rail, Peripheral Ring Road, and Metro expansion. He accused the Union government of deliberately disregarding Karnataka’s needs and failing to increase central contributions to Anganwadi and ASHA workers’ honorariums. The government, he said, was reversing India’s progress and turning its back on states like Karnataka.

On the increase in the income tax exemption limit to Rs 12 lakh, Siddaramaiah argued that while this move was being celebrated, it would benefit only a small section of upper-middle-class families. He noted that in the last financial year, only 8.09 crore people in India paid income tax, accounting for just 6.64 percent of the total population, and of these, 4.90 crore paid zero tax.

“The revised budget for 2024-25 stood at Rs 47.16 lakh crore, with a tax shortfall of Rs 1.04 lakh crore, reflecting lower-than-expected revenue collection,” he said. He pointed out that in this year’s Rs 50.65 lakh crore budget, the debt burden alone stood at Rs 15.68 lakh crore, with Rs 12.7 lakh crore allocated for interest payments. The country’s overall debt, he noted, had risen from Rs 202 lakh crore to Rs 205 lakh crore.

The Chief Minister also criticised the budget’s failure to address farmers’ concerns. “Even as farmers continue their protests in Delhi, the budget made no mention of Minimum Support Price (MSP),” he said, calling it the biggest betrayal of the farming community. He highlighted those allocations for key welfare programs had been significantly reduced. The budget for the agriculture sector fell from Rs 1,31,196 crore to Rs 1,27,290 crore. The allocation for the housing sector was slashed from Rs 54,500 crore to Rs 32,426 crore in the revised estimates. The Jal Jeevan Mission’s budget was reduced from Rs 70,163 crore to Rs 27,694 crore. The MGNREGA scheme’s allocation remained stagnant at Rs 86,000 crore despite rising unemployment.

Siddaramaiah said that the BJP-led Modi government had presented 11 Union Budgets so far, and this 12th budget was no different from the previous ones. He dismissed it as a ‘regressive India budget’ rather than a ‘developed India budget’, arguing that it lacked a comprehensive vision for economic, social, or human development. Instead of being a blueprint for national growth, he said, the budget was a disappointing and damaging policy document.

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