Bengaluru: Chief Minister Siddaramaiah has presented Rs 1,82,119 crore populist budget for the year 2017-18. The budget estimates envisage revenue receipts of Rs 1,44,892 crore and capital receipts of Rs 37,092 crore. The total expenditure is estimated to be Rs 1,86,561 crore consisting of revenue expenditure of Rs 1,44,755 rore, capital expenditure of Rs 33,630 crore and debt repayment of Rs 8,176 crore.
Presenting the budget, Chief Minister Siddaramaiah said the revenue surplus is estimated to be Rs 137 crore and the fiscal deficit is expected to be Rs 33,359 crore, which 2.61 per cent of gross state domestic product (GSDP). “The total liabilities at Rs 2,42,420 crore at the end of 2017-18 are estimated to be 18.93 per cent of the GSDP. This is within the limit of 25 per cent of 2017-18 mandated in Karnataka Fiscal Responsibility Act. Therefore, all these three fiscal parameters are within the mandate of the Karnataka Fiscal Responsibility Act and this reflects fiscal prudence of the state,’’ the chief minister said.
The budget has given several sops including no VAT on hard beer and wine, free water to slum dwellers and and Namma canteen for the state. The sops also include free LPG service for 5 lakh families. While the reasons are not known, Karnataka had imposed 20 per cent hike in additional excise duty on Indian-made liquor for the 2015-16. The budget has allocated Rs 100 crore for setting up of Namma Canteens in Bengaluru, These canteens are expected to provide breakfast for Rs.5, lunch/dinner for Rs.10.