BENGALURU: Confronted with a Rs 12,000 crore revenue deficit, Karnataka’s government is turning to internal funding sources to minimize reliance on new borrowing. With Rs 90,000 crore allocated to welfare schemes, including the Anna Bhagya scheme benefiting the majority of the population, government finances are under strain, impacting funds available for development. According to Chief Minister Siddaramaiah’s economic advisor, Basavaraj Rayareddy, subsidies and guarantee schemes are driving expenses to unsustainable levels, necessitating a review of these programs.
The government is responding with measures such as inter-corporate deposits (ICD) from cash-rich state enterprises to support utilities like Karnataka Power Corporation Limited (KPCL). Further, a joint venture between Karnataka State Electronics Development Corporation (Keonics) and Mysore Sales International Limited (MSIL) aims to fund IT infrastructure by leveraging existing state-owned assets.
Read Also:
Revenue Minister Slams Channapatna Taluk Office
Devanahalli Revenue Department Employee Absconds with Bribe Money
