BENGALURU: Chief Minister Siddaramaiah said on Friday that no community, including minorities, had been placated by his budget. He said that the five guarantees would be financed in part by the government using funds allotted to SC/STs.
After presenting the budget to the media at Vidhana Soudha, he said, “The effort to increase the purchasing power of the poor, women, youth, SC/STs and minorities has been put in and emphasis is on the all-round development of the state.”
The welfare of minorities, including as Christians, Muslims, Jains, and Buddhists, has been allocated Rs 3,71,383 crore, or 0.8% of the entire budget, for their well-being. In response to a question, he said that Rs 39,000 crore has been set aside for SC/STs via SCP/TSP programs, and that sometimes money would be withdrawn from it to modify payments for guarantees, in accordance to the beneficiaries from the groups.
He said that the BJP’s motto, “sab ka saath, sab ka vishwas,” is meaningless since the party continues to be anti-minority and has a skewed perspective on the resources allocated to them. He made fun of the JDS and BJP MLAs for leaving the room when he was delivering the budget, saying they didn’t trust democracy or the legislative system.
controlled budgetary restraint
With a fiscal deficit of Rs 82,981 crore, or 2.95 percent of the state’s gross state product (GSDP), Siddaramaiah said that fiscal restraint had been maintained, falling under the 3 percent threshold set by the Karnataka Fiscal Responsibility Act, 2002. He said that the revenue surplus would stabilize starting in the next year and that the revenue shortfall is Rs 27,354 crore, or 0.97 percent, while the liabilities (borrowings) is Rs 1,05,246 crore, or 23.68 percent of the gross state domestic product.
“There was a debt of Rs 2,46,000 crore from Independence until I became the Finance Minister, and I have borrowed Rs 1.12 lakh crore, while former Chief Minister Basavaraj Bommai had borrowed Rs 80,000 crore,” he said.
In only six years, from 2017 to 2018, the state lost Rs 1,87,000 lakh crore, including Rs 62,000 crore in tax devolution from the central government. “The state has a healthy budget, even if the Center is not providing its fair share. The polity would have grown similarly to Europe if the rightful portion had arrived. We are willing to provide further funds if necessary, and we have set aside Rs 52,009 crore for guarantees,” he said.
“BJP called the guarantees ‘bitti’ guarantees (freebies), which is an insult to women and the poor, and said the government will go bankrupt because of them,” he said. He made the argument that Karnataka contributes 77% of its tax part, but would only get Rs 59,785 at 23%, whereas Uttar Pradesh got Rs 3,12,280 crore from the Center despite paying 49% of its tax portion.
He said that the budget is inclusive, forward-thinking, and supportive of the state’s overall growth.
How the rupee arrives
52* Revenue from State Taxes
28 Take-Outs
Twelve Percent of Central Taxes
Four Center Grants
4 Non-Tax Income
How the Rupee Operates
*15* Social Welfare
11 Instruction
17 Additional General Services
18 Repayment of Debt
4 Well-being
15 Additional Financial Services
14 Rural Development, Irrigation, and Agriculture
Three More Social Services
3 Water Source and Hygiene